The applicant is an asset management company tax resident in the Netherlands and here subject to regulatory oversight.
Some of the funds managed by the applicant invests in Italian securities (the “Funds”).
Such funds are considered as transparent for Dutch tax purposes and are not entitled to apply the Double Tax Treaty between Italy and The Netherlands (the DTT). Conversely, the investors of the funds are resident for tax purposes in the Netherlands and entitled to apply the DTT.
The request for ruling is aimed at confirming that according to Art. 27, par. 3, of DPR no. 600/1973 – as amended by Art. 1, par. 631, of Law No. 178/2020 (2021 Budget Law) – dividends paid by Italian companies as of 1 January 2021 to the Funds are not subject to WHT tax in Italy.
THE REPLY OF THE ITA
Art. 27, par. 3, of DPR no. 600/1973 (as amended by the 2021 Budget Law) states that no WHT applies on dividends paid to the following funds – if established in a EU/EEA Country that allows a proper exchange of information:
a.foreign collective investment undertakings (UCIs) compliant with the Directive no. 2009/65/EC; and
b.UCIs, not compliant with Directive no. 2009/65/EC, whose manager is subject to regulatory oversight in the Country of establishment pursuant to Directive no. 2011/61/EU.
The WHT exemption applies to the funds that follow within the scope of Art. 27, par. 3:
a.irrespective of the legal form taken and of the tax status of the funds in the Country of establishment;
b.in relation to dividends paid starting from January 1, 2021 – irrespective of when the profits were realized, the distribution was resolved upon.
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