Under the new “check-the-box”-rules, limited liability Aruba companies (“naamloze vennootschap”) (“n.v.”) and aruba axempt companies (“AVV”) have the option to opt for fiscal transparency. In that case the company will be treated fiscally as a partnership (“maatschap”), so that not the company is subject top profit tax, but the shareholders. If the shareholders reside in Aruba, the profits may be subject to tax at the level of the shareholders, in case of a company 35%. In case of an individual the rate could be higher than 35%. If the shareholders reside outside Aruba, the profits (made by the foreign shareholder) will not be taxable unless the foreign shareholder is deemed to have a permanent establishment in Aruba or the profits are derived from immovable property in Aruba.

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