According to the Court, the refusal of a refund in principle constitutes a restriction on the free movement of capital, but this restriction is justified by the coherence of the Dutch tax system. An exception applies where a foreign investment fund pays a tax comparable to that of a Dutch fiscal investment institution. In these cases, that condition was not met. For subsequent years, in which a reduction of the dividend tax paid applies under Dutch law, foreign investment funds likewise have no entitlement to a relief comparable to that reduction.

The judgment confirms the existing line of case law, despite an ongoing European infringement procedure.

Read the full annotation in Dutch for the legal background, the relevant case law and the potential impact of the ongoing European procedure.

This contribution was first published by Home | NDFR

You can read the original contribution via the following link: NTFR 2026/37 - Geen recht op teruggaaf dividendbelasting voor buitenlandse beleggingsfondsen | NDFR