Artikel IV Overeenkomst tussen het Koninkrijk der Nederlanden en Malta tot het vermijden van dubbele belasting en het voorkomen van het ontgaan van belasting met betrekking tot belastingen naar het inkomen en naar het vermogen

IV Ad Article 10 1 The provisions of sub-paragraph a) of paragraph 2 of Article 10 shall not apply if the relation between the two companies has been arranged or is maintained primarily with the intention of securing this reduction. 2 It is understood that the reference in the second sentence of paragraph 3 of Article 10 to the provisions of the Netherlands law to the effect that the receiving company is not charged to Netherlands company tax in respect of the profits distributed by a Malta company, is to the application of the so called “holding privilege” in the Netherlands Company Tax Act. Subject to the provisions of the said Act and to future amendments thereto, this “holding privilege” leads to the result that a company which is a resident of the Netherlands can leave out of account, in the computation of its taxable profits, dividends it receives from a company which is a resident of Malta, if it owns at least 5 per cent of the paid-up capital of the latter company.