Cross border business

In the event you have a limited liability company in your home country and you think about doing business in the Netherlands, you can start with a branch/representative office of your foreign limited liability company.Continue reading

Supplementary declaration Value Added Tax

An entrepreneur for Value Added Tax (hereafter referred to as VAT) is required to file monthly or quarterly or annual VAT returns. Especially in monthly and quarterly returns it is possible that the VAT reporting is not done correctly. For instance due to a genuine mistake or later adjusted invoices, receipts with paid VAT retrieved after the return was done. Many reasons.Continue reading

Minimum salary managing director / shareholder

In the event you own at least 5% of the shares in a company that is active in the Netherlands, then rules set by the Dutch tax office apply. These minimum salary rules have been introduced to prevent these managing directors/shareholders to take out an extremely low salary in order to create more profit that can be paid to the shareholder as a dividend.Continue reading

183 day rule

When you are employed in the Netherlands, you are subject to Dutch wage tax and Dutch social premiums. You can avoid Dutch wage tax, if you qualify for the 183 day rule. That does not imply you do not pay personal income tax via wage tax withholding, but you do not pay Dutch wage tax, you pay the personal income tax in the home country.Continue reading

8% Holiday pay

We experience with most foreign companies issues about the 8% holiday pay.

By Dutch law it is stated that every employee is obliged to receive 8% holiday pay in the month of May or June over the previous 12 months regular gross salary earned. In general the holiday pay is paid in May, sometimes in June.Continue reading