Finance
Dutch prosecutor fines Morgan Stanley 101 million euros for tax evasion
Published by Global Banking and Finance Review
Posted on November 27, 2025
1 min readLast updated: January 20, 2026
Global Banking and Finance Review
Company
Published by Global Banking and Finance Review
Posted on November 27, 2025
1 min readLast updated: January 20, 2026
Morgan Stanley fined €101M by Dutch authorities for dividend tax evasion, resolving a historical issue with improper tax rebate claims.
AMSTERDAM (Reuters) -The Dutch Public Prosecutor (OM) has imposed a total fine of 101 million euros ($117.10 million) on two Morgan Stanley entities in London and Amsterdam for dividend tax evasion, it said on Thursday.
The penalty is separate from the tax liability Morgan Stanley settled with the Dutch Tax Administration at the end of 2024, including accrued interest, the OM added.
Under Dutch law, domestic shareholders can reclaim or offset dividend taxes, but foreign recipients usually cannot. According to OM, Morgan Stanley used a special structure that allowed parties who were not eligible to improperly claim these tax rebates.
Earlier this year, the OM said it would summon Morgan Stanley but just before the start of criminal proceedings, the financial services company agreed to accept the fine.
Morgan Stanley said it was "pleased to have resolved this historical matter", which concerned corporate tax returns filed in the Netherlands more than 12 years ago.
($1 = 0.8625 euros)
(Reporting by Toby Sterling, Writing by Charlotte Van Campenhout; Editing by Kirsten Donovan)
Compliance in finance involves adhering to laws, regulations, and guidelines set by governing bodies. It ensures that financial institutions operate within legal frameworks and maintain ethical standards.
Dividend tax evasion occurs when individuals or companies illegally avoid paying taxes on dividend income. This can involve misrepresenting information or using complex structures to claim tax rebates improperly.
International capital refers to financial assets or investments that cross national borders. It includes investments made by individuals or companies in foreign countries, often seeking higher returns or diversification.
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