English to Russian Bus/Financial Other

As a main rule, any gain realized would be subject to Dutch corporate income tax.
However, an exemption may apply in relation to shareholdings of at least 5% (i.e. participation exemption).
In order for the participation exemption to apply, one of the following two conditions has to be met:
The shareholding is not held as a passive investment and is also not deemed to be held as a portfolio investment (hereinafter:
“motive test”); or
In case the shareholding is (deemed to be) held as a passive investment, the participation exemption may nevertheless apply if the shareholding is not considered a so called “low taxed portfolio participation”.

A low taxed portfolio participation is a company:
Whose assets (directly or indirectly) generally consist for 50% or more of low-taxed free portfolio assets (hereinafter:
“asset test”); and
Is not subject to a profit tax that results in a reasonable level of taxation (i.e. an effective tax-rate of at least 10%, calculated on the basis of Dutch tax principles) (hereinafter:
“reasonable taxation test”).
ributions);