Press Release: State aid: Commission opens in depth investigation into one part of proposed Dutch “Groepsrentebox” tax break scheme and approves other part

The European Commission has decided to open a formal investigation procedure under EC Treaty state aid rules into planned reductions of the Dutch tax rates for net interests received on intra-group loans under a scheme called 'Groepsrentebox'. The opening of an in-depth investigation enables interested third parties to submit their comments on the proposed measures but does not prejudge the outcome of the inquiry. At the same time, the Commission decided not to raise objections to the proposed reduced tax rate for interest on short term deposits, provided these deposits are aimed at acquiring at least 5% of the shares of a company. This latter measure would benefit equally all companies subject to Dutch corporate tax and would therefore be compatible with the Single Market.