Holding via a Partnership Ineligible for Exemption under the EC Parent-Subsidiary Directive

The author, in this note, presents a critical view of a surprising judgment of the Warsaw District Administrative Court in a case concerning the exemption from dividend withholding tax of the profits distributed by a Polish subsidiary company to its Netherlands parent company holding the shares in subsidiary via a German limited partnership. In the case, the court decided that such a holding does not qualify for the exemption under the EC Parent-Subsidiary Directive.