Mandatory disclosure and legal protection in the Netherlands
The Mandatory Disclosure Rules (MDR) are laid down in Council Directive (EU) 2018/822 of 25 May 2018. It is the fifth amendment on Directive on Administrative Cooperation 2011/16/EU (DAC6). Although Directive 2011/16/EU was amended several times in order to enhance the means tax authorities can use to react to aggressive tax planning, there was still a need to reinforce certain specific transparency aspects of the existing taxation framework. According to recitals 2, 8 and 19 of MDR/DAC6 the objective is to improve the functioning of the internal market by discouraging the use of aggressive cross-border tax-planning arrangements and to prevent/close loopholes in legislation. In this blog I will focus on some Dutch issues regarding legal protection related to MDR/DAC6.