BUREN (The Netherlands) Article: Dutch Blacklist of Low-Tax and Non-Cooperative Jurisdictions Shortened

On 19 December 2024, the Dutch Ministry of Finance announced its blacklist of low-tax and non-cooperative jurisdictions applicable for the tax year 2025. It was decided to remove Antigua and Barbuda, Bahamas, Belize, Turks and Caicos Islands and the Seychelles from the list.

Tax implications in the Netherlands
The Netherlands has a blacklist for jurisdictions without or with a statutory profit tax rate of less than 9%. The Dutch blacklist also includes the jurisdictions placed on the EU blacklist of non-cooperative jurisdictions (EU Blacklist). The main effects of being on the (combined) Dutch blacklist are:

1. application of controlled foreign company rules for fiscal years starting on or after 1 January 2024;
2. non-eligibility for obtaining an advance tax ruling if a blacklisted jurisdiction is involved in a transaction or corporate structure; and
3. application of a withholding tax at a rate of 25.8% (2025) on dividend, interest and royalty payments (in)directly made to affiliated companies in blacklisted jurisdictions.

For 2025, the Dutch blacklist includes Anguilla, Bahrain, Barbados, Bermuda, British Virgin Islands, Cayman Islands, Fiji, Guernsey, Guam, Isle of Man, Jersey, Palau, Panama, Russia, Samoa, Trinidad and Tobago, Turkmenistan, the US Virgin Islands, US Samoa and Vanuatu.

Inclusion of a jurisdiction on the Dutch blacklist applies for the entire calendar year 2025 with an annual revisit of the list effective the following calendar year.

EU Blacklist
The EU Blacklist is updated two times a year by the Ecofin, being the EU Finance Ministers. Presence of a jurisdiction on the EU Blacklist can result in mandatory disclosure under DAC6 (because of the reference in hallmark C to the EU Blacklist) and/or the Public CbCR Directive (because of the reference to the EU Blacklist and the so-called EU grey list). For more information on the EU Blacklist, reference is made to the website of the European Council.

For more information:
IJsbrand Uljee
Senior Associate | Tax Advisor
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Jitze de Beer
Associate | Tax Advisor
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