Entry into Force of the Convention between Japan and the Kingdom of the Netherlands for the Avoidance of Double Taxation and the Prevention of Fiscal Evasion with respect to Taxes on Income

November 30, 2011
Japanese

The Exchange of Notes for the entry into force of "The Convention between Japan and the Kingdom of the Netherlands for the Avoidance of Double Taxation and the Prevention of Fiscal Evasion with respect to Taxes on Income" (signed on August 25, 2010) took place in The Hague (Netherlands) on Tuesday, November 29. The Convention will enter into force on Thursday, December 29, 2011.
Similar to the Conventions already concluded between Japan and other countries, this Convention adjusts the taxation rights between Japan and the Kingdom of the Netherlands to avoid international double taxation arising from economic and human exchanges. Reflecting the strengthened economic relations between Japan and the Kingdom of the Netherlands, and to promote mutual investments, this Convention further remits withholding tax rates imposed on dividends, interest and royalties, as well as adds new provisions that are not in the current Convention, such as the provisions to prevent abuse of benefits of the Convention.
It is expected that the Convention will further strengthen the economic relations and human exchanges between the two countries, and contribute to the prevention of fiscal evasion.

(*This is a provisional translation. The above date denotes the date of the issue of the original press release in Japanese.)

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