A commonly used exemption in Dutch financial reporting law is the so‑called intermediate holding exemption as laid down in Section 2:408 Dutch Civil Code. In essence, this exemption relieves an intermediate holding company from the obligation to prepare and publish consolidated financial statements, provided that the financial information of the intermediate holding and the entities within its scope of consolidation is included in the consolidated financial statements of a higher‑level entity.
The application of this exemption is subject to a number of requirements that must be satisfied. In practice, however, there is some uncertainty regarding the interpretation of these requirements.
