This post is also available in: Nederlands (Dutch)
TaxAble is your one stop shop for the full administrative/ fiscal compliance for a Dutch company. To this purpose we amongst others offer the following package:
- Annual statement of Accounts (P&L and Balance Sheet) for local entity – This will include some additional required activities such as shareholders resolution to establish the accounts and depositing the accounts with the Chamber of Commerce. We can also assist in case these annual accounts need to meet specific international accounting guidelines/regulations;
- Preparation of the annual Corporate income tax return – This will include an extension of filing;
- Transfer pricing – in case intragroup transfers take place with the Dutch company, in principle transfer pricing will become of importance. The Dutch tax office is well known for their willingness to enter into a ruling to this purpose to set transfer pricing benchmarks. However to this purpose in some cases a transfer pricing report could be required. If intragroup transactions are planned to be made by the Dutch company it would be best to make check upfront on whether or not it is required to enter into a ruling process;
- Advice regarding setting up local entity as a VAT registered business – In most cases we propose to do a one-time check of the company’s VAT liability;
- VAT / ICP / MOSS returns and administrational VAT work required for local entity to fulfill VAT compliance – VAT returns will have to be filed covering each quarter of the year. Format and check of monthly Invoices that new BV will submit – The format of the invoice can be very important;
- Prepare monthly payslips and wage tax returns (including any variable pay, etc.) – Regarding the wage tax we offer the following compliance services: prepare and file wage tax returns with the tax office, preparing and sending monthly salary slips to your employee, opening a wage tax file with the tax office and social security institute and employers insurance institute. Also a check is to be made whether a collective labour agreement (“CAO’) is applicable. Per employee some identification compliance will be required before the start of the employee’s first working day;
- 30% ruling requests – For qualifying expats a so called 30% ruling can be obtained with the Dutch tax office to – for a certain period of time – tax exempt the top 30% of the expat’s salary. Since the top salary is taxed at a maximum of 52%, this can bring a substantial tax benefit for both the employer and employee. In addition there are more tax benefits for the employee if the 30% ruling is obtained. The employer can also consider to work with a net salary, however due to its complex nature we do not recommend. We are very experienced in advising and obtaining the 30% ruling;
- Personal income tax returns employees – Some companies offer their employees a personal income tax return service. Although the personal income tax return is in principle a concern for the employee (except when working with a net salary agreement), it will give the employees (and sometimes the employer as well) ease of mind when their tax obligations are met by a professional third party. Although employees can file a tax return online (except for the year of migration) all is in Dutch and can be complicated to understand and mistakes are easily made. Our firm is specialised in preparing personal income tax returns for expats;
- Handling all correspondence of the Tax Authorities – We can suggest that our firm will be the correspondence address for all relevant taxes (VAT, wage tax, corporate income tax, that way we can handle directly with either the tax office, your client or the accountant. We can directly perform the necessary notifications, advising on how to proceed when receiving letters from them, etc. Also to make sure no deadlines are missed and the relevant persons are informed. We will of course provide your company with copies of all correspondence we receive. We are very experienced in serving as a one stop shop for all administrative/ fiscal compliance purposes.
Trust & Management services
- Please note that for tax purposes it could be required that the Management of the new Dutch BV is located in the Netherlands for tax substance, if the actual Management is located outside NL and there is no opportunity to relocate the Management to NL than such Management services can be provided by a trust company. Since hiring such a trust company will bring extensive additional costs and compliance requirements, we would recommend to make a one-time upfront check whether Dutch tax residency issues could arise and what the consequences would be. If such check leads to the conclusion that hiring a trust company is required, we can guide you to several trust companies that match your requirements. In this regard we can inform you that we have no ties with any trust company and we can be fully objective in the pre-selected choice of trust companies we can suggest.
Opening a Bank account
- We offer advice and help with opening a local bank account – Our experience with opening a bank account in the Netherlands is that this can either be easy or very complex, depending on the activities of the company and the location of the Management. This is because banks have become increasingly reluctant to offer bank accounts for foreign held companies. In case the company is fully operational, with an office space and employees they may well offer opening a bank account. However the representative of the company has to go to the bank in person and provide full details on the UBO’s of the company. Our advise is that it is best to start this process soonest as it may take a lot of time before the account is active.