[Public Papers of the Presidents of the United States: William J. Clinton (1993, Book II)]
[October 22, 1993]
[Pages 1807-1808]
[From the U.S. Government Publishing Office www.gpo.gov]



Message to the Senate Transmitting the Protocol to the Netherlands-   
United States Taxation Convention
October 22, 1993

To the Senate of the United States:
    I transmit herewith for Senate advice and consent to ratification 
the Protocol Amending the Convention Between the United States of 
America and the Kingdom of the Netherlands for the Avoidance of Double 
Taxation and the

[[Page 1808]]

Prevention of Fiscal Evasion with Respect to Taxes on Income, signed at 
Washington on October 13, 1993. A related exchange of notes is enclosed 
for the information of the Senate. Also transmitted for the information 
of the Senate is the report of the Department of State with respect to 
the Protocol.
    The Protocol will prohibit a treaty abuse otherwise permitted by the 
Convention, which was previously transmitted to the Senate. The Protocol 
will prevent a Dutch investor in the United States from evading 
virtually all income taxes in both the United States and the Netherlands 
through a permanent establishment in a third, low-income jurisdiction. 
The Protocol and the Convention are intended to reduce the distortions 
of both double taxation and tax evasion. The two agreements will 
modernize tax relations between the United States and the Netherlands 
and will facilitate greater bilateral private sector investment.
    I recommend that the Senate give early and favorable consideration 
to the Protocol, together with the Convention, and give its advice and 
consent to ratification.

                                                      William J. Clinton

The White House,
October 22, 1993.