Ruling practice – Advance certainty for international structures

Strategic certainty in a complex tax environment

For multinationals, predictability in tax obligations is crucial when making investment and strategic decisions. In the Netherlands, it is possible to obtain certainty in advance from the tax authorities through a so-called Advance Tax Ruling (ATR) or an Advance Pricing Agreement (APA). These rulings provide clarity on the application of tax legislation to specific structures or transactions, minimizing risks and making planning more reliable.

HVK Stevens advises and assists multinationals in applying for, negotiating, and implementing such agreements. Our goal: legal and tax certainty that supports international business operations and gives your ambitions space to grow.

Advance Tax Ruling (ATR)

An ATR provides certainty about the tax consequences of a proposed international structure. This is particularly relevant for issues such as:

• Setting up holding companies and financing companies
• Structuring international investment funds
• Application of the participation exemption for corporate income tax or the withholding exemption for dividend tax.

By seeking coordination with the tax authorities in an early stage, we prevent investment, or reorganization plans from being delayed by uncertainty about tax treatment.

Advance Pricing Agreement (APA)

An APA provides certainty about the transfer pricing methodology applied to transactions between affiliated companies. We assist with, among other things:

• Documentation and substantiation of transfer pricing positions
• Selection and application of appropriate pricing methods
• Coordination with the tax authorities

At a time when international tax authorities are intensifying their exchange of information, a solid and defensible transfer pricing approach is essential to avoid disputes and double taxation.

HVK Stevens, specialist in Advance Tax Ruling (ATR) and Advance Pricing Agreement (APA)

Applying for an ATR or APA requires thorough preparation and a well-structured file. HVK Stevens combines tax expertise with insight into the policy practices of the Dutch Tax and Customs Administration. Our multidisciplinary teams ensure that the ruling is not only legally sound, but also workable within the operational reality of the multinational. We always stand alongside our clients, with an eye for their specific context and objectives.

For multinationals with operations in multiple countries, we also coordinate applications in collaboration with foreign advisory firms. This ensures consistency in tax positions worldwide and strengthens your negotiating position with tax authorities.

Would you like certainty about the tax consequences of your international structure or transactions? Our specialists will be happy to assist you in applying for and implementing an ATR or APA, tailored to your business operations and ambitions.