Netherlands Gazettes Decision Applying MLI Tie-Breaker Rule to Entity Residency Determinations Under Tax Treaties

The Dutch Official Gazette Dec. 20 published a decision applying the Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit Shifting (MLI) tie-breaker rule to entity residency determinations under tax treaties. The MLI enters into force for the Netherlands Jan. 1, 2020. The decision includes measures: 1) setting procedures to apply the MLI tie-breaker rule to entities that are considered residents of both the Netherlands and a treaty-partner jurisdiction; and 2) establishing conditions for entities to maintain residency statuses already determined under tax treaties. The decision enters into force Dec. 21, and takes effect Jan. ...