I am a Dutch tax resident, or am I? A question that is rather important and maybe not easily to answer by yourself. We are eager to answer that question for you.
I am a Dutch tax resident, not?
We experience that not everybody is eager to be a Dutch tax resident. There are plenty of countries where you pay less tax. As the Dutch tax office is aware of that, it is not actually a choice. If it was, most Dutch would have chosen differently.
A Dutch tax resident is a person that has his or her central point of life in the Netherlands. How a central point of life is determined is stated in article 4 of any international tax treaty the Netherlands has agreed upon. Actually it is rather basic determined based on facts and circumstances. Where do you work, what is your address, are you married and where is your partner living.
The moment you challenge your tax resident, that is the moment the Dutch tax office becomes more through. Where is your dentist, doctor, what is the home address in your navigation. Facts and circumstance.
I only stayed three months in the Netherlands, where am I a tax resident?
Three months is less than four months and the moment you overstay four months, you are regarded a Dutch tax resident. Again facts and circumstances, but if you moved to the Netherlands. For some reason it did not work out. You moved back to the country you arrived from, you can argue you never became a Dutch tax resident.
I moved out of the Netherlands, what is my tax status?
Good question, not a simple answer. If you are single and you only had employment in the Netherlands, then the day you left, you stopped being a Dutch resident tax payer.
If you are not single, neither is your partner your tax partner, then you stopped being a Dutch tax resident the day you left.
However, if you own the house alone of with your married partner and your partner remains living in the house while you leave. You are not in a divorce, then the Dutch tax office and the Dutch Government make a strong case you remained a Dutch tax payer as well. Even though living abroad. The house is then an anchor with respect to tax residency.
I work in the Netherlands but live abroad
If you work in the Netherlands and you live in Belgium, France or Germany, and you can proof with facts and circumstances you do so, you are a nonresident tax payer in the Netherlands. As your employer is in the Netherlands, you are socially insured in the Netherlands and Dutch tax is paid over the Dutch income.
If you work in the Netherlands and you live in the USA, India or South Africa. In other words, countries from which it is unlikely you commute every day, you need to substantiate your tax residence.
The difference between the true nonresident and arbitral nonresident is the taxation of world wide assets.
It is also possible you never commute to the Netherlands. Your Dutch employer finds it convenient to apply the Dutch tax. That is not correct. Work is taxed in the country where it is executed, which implies the Dutch employer needs to set up a payroll in your country. The abroad tax system is in place for the payroll and social premiums. We can assist solving that problem.
Tax is exciting
We think tax is exciting. Determine the place of your tax residence is not always understood. There is a difference between a desire not to be taxed in the Netherlands and the facts showing you are to be taxed in the Netherlands. We are, we are aware of. Daily we are contacted, in the hope maybe a loophole was found. Believe me, Dutch are very creative, if there was a loophole, it had been used.