Any foreign tax expert here to help

[tigerinopen]

When working in the Netherlands you are taxable from day 1 on Dutch sourced income.
You can work through your limited company but you will need to register your company with the dutch tax office and receive a VAR certificate, you will then need to engage with a Dutch accountant to process your monthly payroll, you must pay monthly payroll taxes in the Netherlands. As the contract is only 6 months and I presume you have not worked in the Netherlands previously you would be looking at a positive retention figure, I can produce projections for your contract if this would help you,,, please feel free to contact me. The client will almost certainly want you to utilise a Dutch umbrella, this is due to chain law legislation, Another issue that could come up as it auditor statements. The agency or client may request an auditor statement to prove payment of taxes before releasing your final payment. I have seen this before however it has never been an issue as we always provide the auditor statements or the use of a G account. Some contractors using other companies have not been so fortunate.

just PMed you.

[petergriffin]

He won't be working in the NL. His UK company will send him on a business trip to NL for a bit.
.

While this might be acceptable for the HMRC, it won't work with the Belastingdienst.

So I called them up this morning and they said they can help me get a SOFI and VAR and they said that I should not have to pay any NL tax as long as I leave the country before 183 days.

They are talking bollox. You will be taxed, but then you would be liable for a refund (the year after, before March).

When working in the Netherlands you are taxable from day 1 on Dutch sourced income.
You can work through your limited company but you will need to register your company with the dutch tax office and receive a VAR certificate, you will then need to engage with a Dutch accountant to process your monthly payroll, you must pay monthly payroll taxes in the Netherlands.

This ^^^.

[ASB]

Paragraph 2 article 14 of the dta might apply. This would render the income liable to taxation in the uk only.

But it is far from certain. The first hurdle is who is the employer for the purposes of the treaty. The nl authorities are likely to consider it as the end client.

If the nl authorities concede that the uk company is the employer for the purposes of the treaty they may consider that the uk company has gained nl residence.

[tigerinopen]

Paragraph 2 article 14 of the dta might apply. This would render the income liable to taxation in the uk only.

But it is far from certain. The first hurdle is who is the employer for the purposes of the treaty. The nl authorities are likely to consider it as the end client.

If the nl authorities concede that the uk company is the employer for the purposes of the treaty they may consider that the uk company has gained nl residence.

As per the contracts I have received, I will be free from control, with client in agreement be able to substitute and in every sense as self-employed person with a UK limited company. I know this is all IR35 compliance but in no sense client would be employer. I have specifically asked for 'expense claim' clause to be removed. I will be coming back mostly on Fridays but could be Thursdays as well.

It seems there is no clear cut rule even with a DTP treaty in place and things left as ambiguous as they could be. There is no clear cut rule for someone to figure out things which is how things should be. Politicians and bureaucrats not doing their jobs properly. Tax experts willing to advice and charge you the money but not guaranteeing their advice.

I am left with to make a choice based on whether I want to be on the safe side or take a chance as I have received both kinds of answers here. I have spoken to NL accountants and UK accountants - they suggest it should be ok for short times (180 days or less) but no one seems to have done it - which is worrying and also most people advising me otherwise.

As clear as mud as ever.

Thanks people for taking time to putting your thoughts across.

[stek]

As per the contracts I have received, I will be free from control, with client in agreement be able to substitute and in every sense as self-employed person with a UK limited company. I know this is all IR35 compliance but in no sense client would be employer. I have specifically asked for 'expense claim' clause to be removed. I will be coming back mostly on Fridays but could be Thursdays as well.

It seems there is no clear cut rule even with a DTP treaty in place and things left as ambiguous as they could be. There is no clear cut rule for someone to figure out things which is how things should be. Politicians and bureaucrats not doing their jobs properly. Tax experts willing to advice and charge you the money but not guaranteeing their advice.

I am left with to make a choice based on whether I want to be on the safe side or take a chance as I have received both kinds of answers here. I have spoken to NL accountants and UK accountants - they suggest it should be ok for short times (180 days or less) but no one seems to have done it - which is worrying and also most people advising me otherwise.

As clear as mud as ever.

Thanks people for taking time to putting your thoughts across.

Unless the rate is stellar don't bother is my advice. Get this wrong and you could be still sorting out the mess for years. My mate was working is CH 2007/8 and it's still getting badgered by the Swiss Tax authorities, nothing serious but it never goes away it seems.

[ASB]

tiger,

There is no interest or motivation for anybody in clarity. Not least because any individuals circumstances are different.

Though I still do a certain amount of cross border work it is for a multinational. They sort out the mess. When still contracting if was as a bum on seat for some years and more latterly on much more of a fixed price basis. So, these circumstances are different to yours.

You can find the general principles on Europa.eu. But they don't even fit in very well with themselves. Let along the domestic law of wherever you happen to reside and work.

Whichever way you decide, best of luck. There are loads of threads around detailing what has happened when things have gone wrong with international working.

Look at it this way: loads of Indians etc arrive on 6 months stints here. Should they be paying UK taxes or not (if yest why shouldn't you be doing the same thing).

[Hilfort Contracting Prof]

Working via your ltd in the Netherlands

Hi,

As a contractor you can work via your own ltd in the Netherlands without necessarily becoming tax liable in NL. You need to be aware of the following compliance requirements:

- VAR;
- A1;
- 183 day log;
- WAADI registration.

If you require more information please send me a PM. I am more than happy to assist further. Have a pleasant day.

Kr,

Martijn
Hilfort Contracting Professionals

Hi,

I need some advice on whether my limited company and/or I will be liable for Dutch taxes if I work there on a 6 months contract.
I will be having my family in UK for the whole duration.
I am currently a UK tax resident and maintain my home here.
Will be in Netherlands from Monday - Friday (sometimes may be up to Thursday, not sure yet).
Will be invoicing through UK limited and paying myself through it.

Regards,