The Netherlands has published the Memorandum of Understanding (MoU) signed with Kazakhstan on the automatic exchange of information under the Mutual Assistance Convention and the 1996 Dutch-Kazakhstan tax treaty. The MoU was signed by Kazakhstan and the Netherlands on 5 November 2018 and 9 December 2018, respectively, and sets out the scope of information on individuals and legal persons to be exchanged automatically, the timing of exchange, and other related matters.
The Information to Be Exchanged
Under the MoU, both countries agree to automatically exchange information on individuals and legal persons (undertakings) and other bodies with regard to:
- Immovable property (OECD code 6); for the Republic of Kazakhstan: income from immovable property; for the Netherlands: ownership and value of immovable property;
- Corporate profits, if available;
- Dividends (OECD code 10);
- Interest (OECD code 11);
- Income from capital gains, if available;
- Income consisting of salaries, wages and other similar remuneration (OECD codes 15 and 19);
- Director’s fees and / or other payments to members of management teams (management team or other board) (OECD code 16);
- Income from artists and sportspeople (OECD code 17);
- Pensions and other similar remuneration (OECD codes 18 and 19);
- Other income (OECD code 21).
The information referred to aforementioned points shall be provided periodically and at least once per calendar year. If possible, the information shall be provided automatically and in any case within six months of the end of the calendar year to which it relates. The information to be exchanged shall contain identification numbers and / or other personal identification details. This relates to information from both Parties.
In order to promote the effectiveness of the exchange of information and to prevent tax evasion, the competent authorities of Kazakhstan and the Netherlands may conduct simultaneous tax investigations in the manner prescribed by the national legislation of the Parties. For this purpose, the competent authority shall consult one and another on the case selected for the simultaneous investigation, providing information that has led to its proposal and other relevant information.
Date of Entry into Force
The MOU, which was published January 7 in the Dutch official gazette, entered into force December 9, 2018, and applies to information regarding calendar years beginning on or after January 1, 2018.
Source: Dutch Government