Increased importance of tax governance for financial institutions
Over the last few years, Dutch regulators have increased their expectations towards financial institutions in the prevention of tax evasion or tax avoidance. This responsibility is no longer only confined to the tax authorities; financial institutions are also expected to have overarching frameworks in place to apply a risk-based screening process towards clients and transactions to identify those that are solely aimed at reducing tax and have no commercial substance. Such screening requires in-depth knowledge of the application of tax laws and the types of tax evasion and avoidance that may occur.
An integrated FS tax offering
The Financial Services tax experts at BDO offer tax advice to a wide range of Financial Services clients, including banks, fintech companies, and Private Equity houses. Our tax experts from various areas - corporate tax, income and wage tax, VAT, transfer pricing - work together on a daily basis. Additionally, as many issues require a multidisciplinary approach, our tax experts collaborate closely with BDO's auditors, risk advisors, and lawyers. Examples of our tax service offering include:
Tax Good Governance
Setting up and reviewing Tax Good Governance Frameworks: screening processes and formulating criteria regarding client and transaction monitoring, reviewing individual client and transaction structures, and assessing escalation mechanisms and file reviews.
Banks, trading companies, and brokers
We have extensive experience working with various banks, trading companies, and brokers. We assist them in aligning IFRS with Dutch tax requirements, addressing capital allocation issues (e.g., permanent establishment), interest deduction limitations, withholding tax creditability, and related hedge accounting.
Insurance companies
We also provide numerous tax services to insurance companies, such as valuation of investments, valuation of technical provisions, management expense reserve, tax equalisation reserve, creditability of withholding taxes, application of minimum capital rules, and hedge accounting.
Tax compliance and tax reporting
Tax compliance for all FS parties (corporate income tax, dividend withholding tax, VAT), application for fund regimes, and preparation of transfer pricing documentation. Additionally, our team of tax experts specialises in analysing whether IFRS accounting valuations can be adopted for tax purposes. They also possess deep knowledge in tax reporting and tax audit reviews.
More information
Niek de Haan
Partner Tax Advice
T +31 (0)20 543 21 06
Frederik Boulogne
Senior Manager Tax Advice
T +31 (0)20 304 64 28
Tax Good Governance
Setting up and reviewing Tax Good Governance Frameworks: screening processes and formulating criteria regarding client and transaction monitoring, reviewing individual client and transaction structures, and assessing escalation mechanisms and file reviews.
Banks, trading companies, and brokers
We have extensive experience working with various banks, trading companies, and brokers. We assist them in aligning IFRS with Dutch tax requirements, addressing capital allocation issues (e.g., permanent establishment), interest deduction limitations, withholding tax creditability, and related hedge accounting.
Insurance companies
We also provide numerous tax services to insurance companies, such as valuation of investments, valuation of technical provisions, management expense reserve, tax equalisation reserve, creditability of withholding taxes, application of minimum capital rules, and hedge accounting.
Tax compliance and tax reporting
Tax compliance for all FS parties (corporate income tax, dividend withholding tax, VAT), application for fund regimes, and preparation of transfer pricing documentation. Additionally, our team of tax experts specialises in analysing whether IFRS accounting valuations can be adopted for tax purposes. They also possess deep knowledge in tax reporting and tax audit reviews.
Niek de Haan
Partner Tax Advice
T +31 (0)20 543 21 06
Frederik Boulogne
Senior Manager Tax Advice
T +31 (0)20 304 64 28
More information
An integrated FS tax offering
The Financial Services tax experts at BDO offer tax advice to a wide range of Financial Services clients, including banks, fintech companies, and Private Equity houses. Our tax experts from various areas - corporate tax, income and wage tax, VAT, transfer pricing - work together on a daily basis. Additionally, as many issues require a multidisciplinary approach, our tax experts collaborate closely with BDO's auditors, risk advisors, and lawyers. Examples of our tax service offering include:
Over the last few years, Dutch regulators have increased their expectations towards financial institutions in the prevention of tax evasion or tax avoidance. This responsibility is no longer only confined to the tax authorities; financial institutions are also expected to have overarching frameworks in place to apply a risk-based screening process towards clients and transactions to identify those that are solely aimed at reducing tax and have no commercial substance. Such screening requires in-depth knowledge of the application of tax laws and the types of tax evasion and avoidance that may occur.
Increased importance of tax governance for financial institutions