Holding company matrices
Deloitte's guide to holding company regimes in Asia Pacific, Europe and Latin America
Multinational companies may decide to establish a holding company for a range of tax and non-tax reasons. For example, a holding company may be an efficient way to manage a group of subsidiaries in a particular region, by centralizing financing, licensing and management activities. A holding company may also provide tax benefits, such as reduced withholding taxes on dividends and taxes on capital gains.
Choosing the appropriate location for a holding company is a complex procedure - involving consideration of business, economic, logistical and operational requirements. The tax attributes of the location are a key factor in any decision. How will income and gains of the holding company be taxed and what is the effective tax rate? Are there any substance requirements? Will payments by the holding company be subject to withholding tax? Does the location have an extensive tax treaty network?
These questions are addressed in the Deloitte holding company matrices, below, which summarize in an annotated table the holding company regimes in Europe, Latin America and Asia Pacific (along with other special jurisdictions).
The information in these files also is available comparatively at DITS online, allowing visitors to select only their desired jurisdictions and topics and compare across two or more jurisdictions.