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A taxpayer inquired whether their investment in a European Venture Capital Fund (FCRE) qualifies for Wealth Tax exemption. The Directorate General for Taxes (DGT) ruled that it does not, as the taxpayer will be an employee of the management company and will not perform management functions within the FCRE itself.
This ruling clarifies that mere participation in an FCRE is insufficient for Wealth Tax exemption; the taxpayer must actively hold management roles within the fund to qualify.
The tax team reviews your specific situation.
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