It isn’t hard to find reasons to move and start a business in the Netherlands or to move to the Netherlands with your business.The Dutch are known for having a good business climate. Not only is there good infrastructure, good healthcare and education, but the Dutch government actively promotes foreign direct investments. Here are a few things you will have to consider or do, when setting up a business in The Netherlands!

Structure

When bringing your business to The Netherlands or starting a business in the Netherlands, you will have to choose the right business structure for your business. We can help to determine which structure suits your company best. It can have a very big impact on your tax liability.

Registration

It sounds pretty straightforward, but yes, the first step if you want to set up your business in the Netherlands is to register with the Chamber of Commerce (KvK) and also with the Dutch Tax Office (Belastingdienst). We are happy to do this on your behalf. The communication with the Dutch Tax Office especially as a foreigner, can be time-consuming and complicated when having just moved country for example.

Eligible

It is wise to check if you are eligible for the Dutch tax benefits and deductions. Here is an overview of the available deductions:

• Self-employed deduction: This is a fixed deduction for self-employed entrepreneurs who meet certain conditions resulting in lower income tax.
• Starting deduction: This is a deduction for starting entrepreneurs, who qualify for the self-employed deduction. This applies for the first three years of business.
• SME Profit Exemption:  A percentage of the profit from small and medium-sized enterprises (SMEs) is exempt from tax. This reduces taxable profit and thus the amount of payable tax.
• Small Businesses Scheme (KOR): If your annual turnover is less than €20,000, you may qualify for the KOR. This means you do not have to pay VAT, but you also cannot reclaim VAT.
• Investment Deduction (Investeringsaftrek): This includes the small-scale investment deduction (KIA), energy investment deduction (EIA), and environmental investment deduction (MIA). These deductions are designed to encourage investments in business assets, energy-efficient, and environmentally friendly technologies.
• 30%-ruling: click here to view the most recent update, as the ruling has undergone a lot of changes recently. This favourable ruling allows the employer to reimburse 27% of the employee’s gross salary tax-free.

There are various requirements for these tax benefits and rulings. We can help you check if this applies in your situation and if you are eligible.

Complete service

Not only can we help you with registering your business and helping you choose the right structure for your business in the Netherlands, but also afterwards it is important to keep up to date with the latest changes in the Dutch tax laws. Finally, there are quarterly and yearly tax returns that will have to be filed. We would be happy to look after these as well. We offer a complete service, from setting up your business, to filing the needed returns and making sure your business is gaining maximum tax benefit, yet is tax-compliant as well. Contact us now!