FPIs nervous on doubts over Dutch tax pact

France, Netherlands and Sweden offer capital gains exemption on sale of equity shares

The uncertainty over the government's tax treaty with Netherlands has unnerved investors who want to shift base to the latter region, following the amendment of earlier treaties with Mauritius, Cyprus and Singapore.
 
According to sources in the know, the government wrote to its Dutch counterpart two months earlier on amending the treaty. There has been sporadic discussion since but no clear headway, they said.
 

Foreign portfolio investors (FPIs), who do not want to see their returns get impacted as a result of the amended Mauritius, Cyprus and Singapore tax treaties, are looking to shift their base to European jurisdictions