What does a participation exist?

There is a participation in the following cases:

• You are a shareholder of a company whose capital is wholly or partly divided into shares (for example, a public limited company or a private limited company) for at least 5% of the nominal paid-up capital.
• You own at least 5% of the number of participation certificates outstanding in a common fund.
• You are a member of a cooperative or an association based on cooperative principles.
• As a limited partner, you will participate in a publicly traded limited partnership for at least 5%.
• You own shares representing at least 5% of the voting rights in a company established in an EU Member State.
  The condition for this is that a double taxation treaty has been concluded with that Member State which provides for a reduction in the taxation of dividends based on the number of voting rights.
• You have a participation by assimilation ('meesleepregeling').
• You have a participation through the 'meetrekregeling'.

A shareholding of less than 5% cannot constitute participation. There is one exception: If a holding of at least 5% falls below the 5% level after being held for more than 1 year, the participation exemption still applies for 3 years.

Participation by assimilation ('meesleepregeling')

If you have a participation in a company and also participate in that company by owning profit-sharing certificates, the profit-sharing certificates are also considered a participation. This does not apply if you hold a participation solely under the 'meetrekregeling'. A hybrid loan to a company in which you hold a participation is also considered a participation. This also doesn't apply if you only hold a participation based on the 'meetrekregeling'.

'Meetrekregeling' participation

You also hold a participation in the following cases:

• You are a shareholder in a related entity within the meaning of article 10a, paragraph 4 Vpb;
• You are a shareholder in a company wherein a related entity holds a particpation 
• You have granted a hybrid loan to a company and a related entity holds a participation in that company
• You have granted a hybrid loan to an affiliated company
• You have a profit-sharing certificate of a company wherein a related entity holds a particpation
• You have a profit-sharing certificate of a related entity.