Comparative Tax Regimes for Holding Companies: Overview as of 2021

Understanding how holding companies are taxed across jurisdictions is essential for effective cross-border planning. In this overview, L&N members from several key countries have compiled a comparative table outlining the corporate tax rate, dividend exemptions, capital gains treatment, and other important features relevant to holding structures.

The countries featured in this comparison include:

• Belgium

• Luxembourg

• Switzerland

• Hungary

Each country’s regime is examined in terms of:

• Applicable corporate tax rates

• Conditions for dividend and capital gains exemptions

• Deductibility of share acquisition costs

• Requirements for fiscal substance

• Presence or absence of anti-abuse provisions

This table is designed to help practitioners and clients navigate the nuances of local legislation, particularly when assessing cross-border structuring opportunities and optimising holding structures in Europe.

👉🏼 Download the full comparison table (PDF)

For further questions or tailored advice, feel free to contact us.