• Register
Return to: Home > News > Professional Bodies > Tax information exchange agreement signed between USA and Netherlands

Tax information exchange agreement signed between USA and Netherlands

The USA government has signed a tax information exchange agreement with the Netherlands for income and taxes paid of multinational companies to be automatically exchanged between the Dutch Tax and Customs Administration and the USA tax authorities.

Under rules issued in 2016, the USA requires entities with revenues of $850m or more in the preceding accounting period to file Form 8975, country-by-country report, with the US tax agency, the Internal Revenue Service (IRS). These rules follow USA reporting requirements and the OECD’s Action Plan on Base Erosion and Profit Shifting (BEPS) to stop multinational companies from shifting profits to low tax jurisdictions.

This agreement with the Netherlands will allow USA multinational companies to file Form 8975 with the IRS if the multinational is resident for tax purposes in the Netherlands or has a permanent establishment there.

The agreement stated that both countries recognise that each jurisdiction has the appropriate safeguards in place regarding confidentiality and use of information, as well as the infrastructure for an effective exchange relationship.

The USA has not signed the OECD’s Multilateral Competent Authority Agreement on the Exchange of Country-by-Country Reports and therefore, must individually negotiate agreements with countries.

Top Content

    2018 Digital Accountancy forum and awards: Digital transformation

    The Accountant presents highlights from The Digital Accountancy Forum & Awards 2018 panel discussions

    read more

    2018 Digital Accountancy Forum and Awards: Tech deep dive

    The second panel session of the day saw experts discuss how new technologies should not just be seen as a threat, and could be used to improve accounting.

    read more

    Digital Accountancy Forum and Awards: The power of data

    The third panel discussion of the day saw panellists discuss some of the worries their clients have had, how to overcome them, and how data and technology are providing real business opportunities.

    read more

    Digital Accountancy Forum and Awards: The next generation

    With young people more mobile, and technology changing the industry rapidly, the final panel session of the Digital Accountancy Forum looked at how firms would need to adapt to the new reality

    read more
Privacy Policy

We have updated our privacy policy. In the latest update it explains what cookies are and how we use them on our site. To learn more about cookies and their benefits, please view our privacy policy. Please be aware that parts of this site will not function correctly if you disable cookies. By continuing to use this site, you consent to our use of cookies in accordance with our privacy policy unless you have disabled them.