"The only thing we would like to change is the Dutch rules and regulations" is a response AAme Adviseurs commonly hears when personally asking clients for feedback. Either when doing business, starting up a new company or just filing income tax in the Netherlands, the majority faces difficulties as a result of the complex Dutch laws.
With over 35 years of experience in the field of accountancy, tax and legal advice, salary processing and employment solutions, AAme Adviseurs simplifies the Dutch rules and regulations by making them more accessible and understandable for all people and companies.
When living or moving to the Netherlands as an expat, there are a lot of things you need to consider: arranging a visa, finding a place to live, relocating, looking for a job and managing your finances. Logically, in all the hassle, it is easy to forget things or just not be aware of essentials that need to be done when moving to or living in another country.
Besides the above, a foreigner who is new to the Netherlands should have a better understanding of how the Dutch tax system works. There are a lot of taxes that most expats encounter, but there are also a lot of possibilities and rules to reduce your Dutch tax liabilities and obligations.
Having an accountant and / or tax adviser by your side who can guide you through the whole process and takes care of it will be financially beneficial, and very helpful on your way to a better understanding of the basics of the Dutch tax system, as well as reassuring you that you will not have any problems with the tax office in your new country of living.
When earning money or having other sources of income while living in the Netherlands, Dutch citizens and expats are required to pay taxes to the Dutch tax office, which is called the Belastingdienst. For example, income tax, payroll tax and VAT tax are all taxes that need to be paid.
Income tax is levied directly on personal income and needs to be declared via your annual tax return. Payroll tax is withheld from an employee’s salary; it is an advance levy of income tax and is deducted from an employee’s salary every month. Therefore, there is a big difference between gross salary and net salary. VAT tax is a flat tax levied on an item - it applies to all goods and services that are bought and sold.
As an expat, you may be eligible for a tax benefit known as the 30% ruling, as well as for several other social security allowances. The 30% ruling is a Dutch tax exemption for employees who were recruited from abroad to work in the Netherlands. There are various conditions and, if they are met, your employer can pay you 30% of your salary as a tax-free allowance. There are more benefits that come along with the 30% ruling, for example, it enables you to exchange your foreign driving license for a Dutch driving license. You do not have to pass new driving tests in the Netherlands.
In addition, when you file your Dutch income tax form, you can opt for the “partial non-residency status”. As a result, you are then considered as a non-resident taxpayer in Box 2 (income from substantial interest, if you have more than 5 percent of the shares in an entity) and Box 3 (income from savings and investments), even though you are regarded as a Dutch tax resident. But be aware: besides the various conditions that need to be met, there are more things to consider such as the duration, changing jobs etc. It is highly advisable to keep that in mind and be aware of mistakes that can easily be made.
AAme Adviseurs guarantees high-quality financial services and understandable advice and provides amongst others, the following services:
Payroll constructions for contractors (expats) and self-employed contractors working in the Netherlands.
Accountancy services, start-up guidance, tax advice, tax returns and assistance with all different kinds of Dutch taxes.
Salary administration and advice, subsidies, 30% ruling and highly skilled migrant ruling (work permits).
Legal advice and support in the fields of labour law, tax law, contract law, litigation, as well as carrying out legal business scans.
Personal contact, quick response and high accessibility are sincerely provided at all times. AAme Adviseurs is clear, honest and will not bother you with commercial talks or meaningless promises. Their first contact is always free of charge.
Are you looking for advice or answers to your questions? AAme Adviseurs does not only provide you with advice or a quick answer but also with the best service and always from the perspective of their client. Give AAme Adviseurs a call or send an email, they are more than happy to help you!