Netherlands - The Relationship between Tax Treaties and Protective Tax Assessments Issued in Respect of Pensions and Annuities upon Emigration: Pacta sunt servanda and Compartmentalization

In this note, the authors examine a recent Supreme Court decision wherein the Court held that Netherlands legislation that governs how taxpayers with a pension or annuity entitlement should be treated in the event of emigration complies with the good faith required to be observed in applying and interpreting treaties.