What is a fiscal unity?
A fiscal unity is a tax grouping where a holding BV (besloten vennootschap, the Dutch private limited company) and its subsidiaries file a single consolidated corporate tax return. From a Vpb perspective, the group is treated as one entity. This means: losses in subsidiary A can immediately offset profits in subsidiary B, and intercompany transactions are eliminated.
When does fiscal unity make sense?
- One group company is loss-making while another is profitable — immediate loss offset saves cash tax
- Significant intercompany transactions that would otherwise create administrative complexity
- New ventures under the holding that start with losses
Conditions for fiscal unity
- Parent must own at least 95% of the shares in the subsidiary
- Both entities must be Dutch resident (or have a Dutch PE)
- Same financial year
- Application submitted to Tax Authority (form: Vpb 95E)
Downsides of fiscal unity
- Joint and several liability: all entities in the fiscal unity are jointly liable for the group's Vpb
- The 19% bracket (€200,000) applies to the group as a whole rather than per entity — so two profitable BVs in a fiscal unity lose one €200,000 bracket
- Dissolving the fiscal unity can trigger anti-avoidance provisions
Where this leads
Further along the same line: Tax Benefits of a Dutch BV in 2026, Real Estate via a BV and Dutch BV Tax Benefits 2026.