The Russian Ministry of Finance (MinFin) addressed the authorities of the Netherlands to amend the provisions of the Double Taxation Treaty (DTT) between the two countries by increasing the tax rates applicable to dividend and interest payments to 15%.
Earlier this year, the similar requests were already sent to Cyprus, Luxembourg and Malta. The Russian side reserves the right to denounce the DTTs in those cases where the parties do not reach an agreement on the increase of the tax rates.
Further details will be provided as they become available.
Impact on investors: Tax rates applied at source to the income of Dutch investors from Russian securities may be increased.