Law Approving The Protocol, Made In Berlin On June 23, 2009, Amending The Convention Between The Kingdom Of Belgium And The Kingdom Of The Netherlands For The Avoidance Of Double Taxation And Fiscal Evasion With Respect To Taxes On Income And

Original Language Title: Loi portant assentiment au Protocole, fait à Berlin le 23 juin 2009, modifiant la Convention entre le Royaume de Belgique et le Royaume des Pays-Bas tendant à éviter la double imposition et à prévenir l'évasion fiscale en matière d'impôts sur le revenu et

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belgiquelex.be - Carrefour Bank of Legislation

19 AOUT 2011. - An Act to amend the Protocol, made in Berlin on 23 June 2009, amending the Convention between the Kingdom of Belgium and the Kingdom of the Netherlands to avoid double taxation and to prevent tax evasion in respect of income and property taxes, and Protocols I and II, signed in Luxembourg on 5 June 2001, and adapting Belgian tax legislation to certain provisions of the Protocol (1) (2) (3)



ALBERT II, King of the Belgians,
To all, present and to come, Hi.
The Chambers adopted and We sanction the following:
Article 1er. This Act regulates a matter referred to in Article 77 of the Constitution.
Art. 2. The Protocol, made in Berlin on 23 June 2009 (hereinafter "the Protocol"), amending the Convention between the Kingdom of Belgium and the Kingdom of the Netherlands to avoid double taxation and prevent tax evasion in respect of income and property taxes, and Protocols I and II, signed in Luxembourg on 5 June 2001 (hereinafter "the Convention"), will come out its full and full effect.
Art. 3. Within 24 months from the date of entry into force of the Protocol, the administration is authorized to collect, outside the time limits provided for in domestic tax law, information:
- referred to in Article 29 of the Convention, as amended by the Protocol, and
- relating to taxable periods beginning before the entry into force of the Protocol but to which the Convention nevertheless applies, as amended by the Protocol.
Art. 4. Within 24 months from the date of entry into force of the Protocol, a tax or tax supplement may still be validly established outside the time limits provided by the domestic tax law on the basis of information:
- provided, under Article 29 of the Convention, as amended by the Protocol, by the competent Dutch authority designated in accordance with the Convention, and
- relating to taxable periods beginning before the entry into force of the Protocol but to which the Convention nevertheless applies, as amended by the Protocol.
Art. 5. Within 24 months from the date of entry into force of the Protocol, a tax discount may still be validly granted outside the time limits provided by the domestic tax law on the basis of information:
- provided, under Article 29 of the Convention, as amended by the Protocol, by the competent Dutch authority designated in accordance with the Convention, and
- relating to taxable periods beginning before the entry into force of the Protocol but to which the Convention nevertheless applies, as amended by the Protocol.
Art. 6. The administrative and criminal penalties provided for in domestic tax law in the event of a breach of the obligations resulting, in the head of the offender, from the investigative powers conferred on the administration by the domestic tax law are applicable to the authority that contravenes the obligations conferred on the administration by section 3 of this Act by the head of the offender.
Promulgation of this law, let us order that it be clothed with the seal of the State and published by the Belgian Monitor.
Given in Brussels, August 19, 2011.
ALBERT
By the King:
Deputy Prime Minister and Minister for Foreign Affairs,
S. VANACKERE
Deputy Prime Minister and Minister of Finance,
D. REYNDERS.
Seen and sealed the state seal:
Minister of Justice,
S. DE CLERCK
____
Notes
(1) 2010-2011 session.
Senate:
Documents.
Bill tabled on 20 April 2011, No. 5-963/1.
Amendments 5-963/2.
Report made on behalf of the commission, No. 5-963/3.
Text adopted by Commission 5-963/4.
Annales parliamentarians.
Discussion, meeting of 9 June 2011.
Voting, meeting of 9 June 2011.
Chamber:
Documents.
Project transmitted by the Senate, No. 53-1576/1.
Text adopted in plenary and subject to Royal Assent, No. 53-1576/2.
Annales parliamentarians.
Discussion, meeting of 7 July 2011.
Vote, meeting of 7 July 2011.
(2) See the Decree of the Flemish Community/ Flemish Region of 13 July 2012 (Belgian Monitor of 6 September 2012), the Decree of the French Community of 24 November 2011 (Belgian Monitor of 30 December 2011), the Decree of the German-speaking Community of 24 September 2012 (Belgian Monitor of 24 October 2012), the Decree of the Walloon Region of 1erDecember 2011 (Moniteur belge du 14 décembre 2011) et l'Ordonnance de la Région de Bruxelles-Capitale du 2 mai 2013 (Moniteur belge du 17 mai 2013).
(3) Entry into force: 1er September 2013.

Protocol amending the Convention between the Kingdom of Belgium and the Kingdom of the Netherlands to avoid double taxation and to prevent tax evasion in respect of income and property taxes, and Protocols I and II, signed in Luxembourg on 5 June 2001
The Kingdom of Belgium
and
the Kingdom of the Netherlands,
Desirous of concluding a Protocol amending the Convention between the Kingdom of Belgium and the Kingdom of the Netherlands to avoid double taxation and to prevent tax evasion in respect of taxes on income and on capital, and the Protocols, signed in Luxembourg on 5 June 2001 (in this Protocol called "the Convention"),
The following provisions were agreed:
ARTICLE 1er
Article 29 of the Convention is amended to read:
“1. The competent authorities of the Contracting States shall exchange the information likely to be relevant to the application of the provisions of this Convention or for the application or implementation of the domestic law relating to the taxes of any kind or denomination perceived by or on behalf of the Contracting States, their political subdivisions or their local authorities to the extent that the taxation it provides is not contrary to the Convention. The exchange of information is not restricted by sections 1er and 2.
2. Information received under paragraph 1er by a Contracting State shall be held secret in the same manner as the information obtained under the domestic law of that State and shall be communicated only to the persons or authorities (including the courts and bodies of administrative law) concerned by the establishment or collection of the taxes referred to in paragraph 1er, by the procedures or prosecutions relating to these taxes, by the decisions on remedies relating to these taxes, or by the control of the foregoing. These individuals or authorities only use this information for these purposes. They may disclose this information in public court hearings or judgments. Notwithstanding the foregoing, the information received by a Contracting State may be used for other purposes where this is the result of the laws of both States and where the competent authority of the State providing the information authorizes such use.
3. The provisions of paragraphs 1er and 2 may in no case be construed as imposing on a Contracting State the obligation:
(a) take administrative measures derogating from its legislation, administrative practice or those of the other Contracting State;
(b) provide information that could not be obtained on the basis of its legislation or in the course of its normal administrative practice or those of the other Contracting State;
(c) provide information that would reveal a commercial, industrial, professional or commercial or industrial secret or information that would be contrary to public order.
4. If information is requested by a Contracting State in accordance with this Article, the other Contracting State shall use the powers available to it to obtain the information requested, even if it does not need it for its own tax purposes. The obligation contained in the previous sentence shall be subject to the limitations provided for in paragraph 3, unless such limitations are likely to prevent a Contracting State from transmitting information solely because they do not have an interest in it in the national context.
5. The provisions of paragraph 3 shall not in any case be construed as allowing a Contracting State to refuse to disclose information solely because it is held by a bank, other financial institution, trust, foundation, agent or person acting as an agent or trustee or because that information relates to the property rights of a person. In order to obtain this information, the tax administration of the requested Contracting State has the power to request the communication of information and to conduct investigations and hearings notwithstanding any contrary provision of its domestic tax legislation.
6. (a) Notwithstanding the provisions of paragraph 1er, the provisions of this Article shall apply mutatis mutandis to the relevant information for the application of income-related measures ("inkomensgerelateerde regelingen") provided for in Dutch legislation, by the Dutch tax authorities responsible for the application or implementation of these measures.
(b) If information is obtained for tax purposes by a Contracting State under paragraph 1erthe State may, notwithstanding the last sentence of paragraph 2, also use this information for the implementation of the income-related measures ("inkomensgerelateerde regelingen") referred to in subparagraph (a) of this paragraph. "
ARTICLE 2
The title of Article 31 of the Convention is amended to read:
" Limitation of Article 30".
The text of Article 31 of the Convention is amended to read:
"The provisions of Article 30 shall in no case be construed as imposing on a Contracting State the obligation:
(a) take administrative measures derogating from its legislation or administrative practice or those of the other Contracting State;
(b) take administrative measures that would be contrary to public order;
(c) provide assistance in cases where the resulting administrative burden for that State is significantly disproportionate to the benefits that may be derived from it by the other Contracting State. "
ARTICLE 3
The following new item 27a is inserted in Protocol I after item 27:
"27a. Ad article 29:
Notwithstanding the provisions of paragraph 1erin respect of taxes collected on behalf of political subdivisions or local authorities, provided that they are not collected by the Contracting States themselves, Article 29 shall only be applicable in the two Contracting States from the date on which Belgium shall notify the Netherlands by diplomatic means of its consent to the application of that provision. "
ARTICLE 4
1. This Protocol, which shall be an integral part of the Convention, shall enter into force on the first day of the second month after the Contracting States have been informed by diplomatic means of the fulfilment of the required national procedures.
2. This Protocol shall apply:
(a) taxes due to the source on income awarded or paid on or after 1er January 2010;
(b) other taxes collected on taxable period income ending on or after December 31, 2010.
3. By derogation from the provisions of paragraph 2, the provisions of this Protocol shall apply to taxes on income awarded or paid on or after 1er January 2008 in the event that these revenues are subject to a request for information held by a bank or other financial institution.
In faith, the undersigned, duly authorized to do so by their respective Governments, have signed this Protocol.
Done in Berlin on 23 June 2009, in duplicate, in Dutch and French, both texts being equally authentic.