Contracts in The Netherlands

[m0n1k3r]

If you can work as a ZZPer using your own BV it's interesting to know that the new government has announced that dividend tax will soon be abolished in NL.
There are many rules to start and run a BV and it's not as easy as setting up a ltd company in the UK

That is the withholding tax when a company pays a dividend. The recipient would still have to pay income tax on the dividend. It is not designed to help contractors. It is designed to make the NL more attractive as a holding company location for international groups.

[Eirikur]

If you can work as a ZZPer using your own BV it's interesting to know that the new government has announced that dividend tax will soon be abolished in NL.
There are many rules to start and run a BV and it's not as easy as setting up a ltd company in the UK

[m0n1k3r]

They have the same in Denmark sort of.

Sweden has two schemes - a 20% flat rate scheme (no tax return, but also no deductions allowed) for people working there for up to 6 months in a 12 month period and another one for highly skilled employees in R&D earning around the equivalent of £100k a year or more.

[BR14]

Don't forget your UK tax liability too. You'll pay the balance to whichever country has the higher tax, probably UK in this case...

NL tax and social insurance is higher than UK.
that's why the 30% rule is crucial.
but, as with all cross border stuff, it depends on length of work, residency, tax residency, etc etc.
there's no simple answer.

[stek]

Thank you all, that was really helpful.

I will contact the brolly company they are recommending and try to get some figures. I think there is still room for negotiation.

Don't forget your UK tax liability too. You'll pay the balance to whichever country has the higher tax, probably UK in this case...

[maxm]

Thank you all, that was really helpful.

I will contact the brolly company they are recommending and try to get some figures. I think there is still room for negotiation.

[stek]

if it's a long contract your brolly can apply for the 30% skilled expat allowance. so you only pay deductions on 70% of your gross.
That's a BIG saving.

They have the same in Denmark sort of.

[BR14]

if it's a long contract your brolly can apply for the 30% skilled expat allowance. so you only pay deductions on 70% of your gross.
That's a BIG saving.

[Eirikur]

Hi All,

I know this is a little subjective, BUT, I am just trying to gauge if 750 Euros/day is reasonable. As I understand, I would be expected to work under umbrella company to comply with local laws.

M

Depends on how much you need to maintain your standard of living
- ask a dutch umbrella to give you two calculations one as a flat rate expat taxpayer in which case you can't deduct much of your costs and one as a "regular" tax payer in which case you are allowed to deduct a lot of cost

-take into account
Mileage to the airport in the UK (if you plan to fly back every weekend)
Airport parking
flights
Transport in NL
Housing cost
mandatory health insurance
Exchange rate risk (should be fine with brexit, Euro can only go up)

In my calculation when I was offered a contract a year ago, if your day rate in the UK is £500 and you live relatively close to your place of work, you would need at least €900 per day to have a comparable income

EDIT have to add that as a Dutch citizen I was not allowed to use the Expat flat rate tax

[maxm]

Hi All,

I know this is a little subjective, BUT, I am just trying to gauge if 750 Euros/day is reasonable. As I understand, I would be expected to work under umbrella company to comply with local laws.

M