In 2003, Sweden abolished the so-called capital gains leg of the double taxation of corporate profits by introducing a new participation exemption regime for capital gains and dividends on shares held for business purposes. Together with other key features of domestic and international tax law and Sweden's rather extensive treaty network, this has made Sweden a competitive jurisdiction for intermediate holding companies. This article presents a general description of some of the key features of holding companies, along with a discussion of Sweden as a jurisdiction for intermediate holding companies.