In the final vote, Parliament adopted a bill to amend the Withholding Tax Act, under which the right to a refund of withholding tax in the event of failure to declare a service subject to withholding tax in the tax return is no longer forfeited if a subsequent declaration is made or the tax authority offsets the service.
The prerequisite is that the subsequent declaration or set-off is made before the expiry of the period for objection to the assessment and the original non-declaration was negligent. This is to avoid double taxation of income tax and withholding tax in the event of negligent non-declaration. The hedging purpose of the withholding tax is maintained (cf. our contribution of 22 September 2018).
The proposal also takes into account the concern of Daniela Schneeberger's motion "No forfeiture of withholding tax" (16.3797) (see our contribution of 22 September 2018).
The final voting text as well as the entire parliamentary business with further documents is available here.
