Mandatory VAT Registration in the Netherlands

Every Dutch company is required to subscribe at the Trade Registry of the Chamber of Commerce. This is a necessary prerequisite for VAT registration and fulfilment of other financial duties. The procedure is mandatory for all legal entities, including private limited companies, companies with limited liability, foundations and associations. Registration at the Chamber of Commerce is also mandatory for partnerships (e.g. general partnerships) and sole proprietors. The procedure for subscription at the Trade Registry involves the payment of a registration … Read more


Franchise Agreements in the Netherlands

Franchising is a contractual mechanism through which an entity (franchisor) issues a paid license for use of its business practices and systems and/or its commercial name to another entity (franchisee).

Dutch laws on franchise agreements

The Dutch legislation does not address franchise agreements specifically, so the general provisions of the law on contracts and competition applies. Franchising agreements are usually complex and are therefore concluded in writing. One should consider the following common principles when preparing a franchise agreement under … Read more


Open a General Partnership in the Netherlands (VOF)

The Venootschap Onder Firma (VOF) or General Partnership is a company established by a minimum of 2 members through an agreement registered with the Commercial Chamber (Trade Registry). This entity is commonly translated as “company with partners”.

Main features of the Dutch VOF (General Partnership)

Each of the partners must make a contribution to the common business, e.g. goods, money, labour or knowledge. In contrast to other entities in the country, the VOF is not required to have a minimum … Read more


Dutch Social Service Number (BSN / Sofi Number)

One of the first bureaucratic matters internationals need to take care of in the Netherlands is the BSN number, in Dutchburgerservicenummer”. BSN, or also known as Sofi number in the past is a social service number used in the country.

 What purpose does the Dutch BSN / Sofi number serve?

The BSN or Civic Service Number is a unique number issued to everyone living in the country. It is a form of registration intended to assist all interactions … Read more


Holland VAT Rate

The Netherlands uses a value-added tax system (short: VAT). This system is very similar to the system that is used in other states of the European Union. Not all transactions are subject to VAT, but in Holland, it is very common to charge this value-added tax. The regular tax rate is 21%, and this rate is charged on (almost) all goods and services by businesses within Holland.

If products are imported from outside of the EU, this VAT rate may … Read more


The Difference Between a Dutch Branch and Subsidiary

When registering a Dutch company investors have the option to set up either a branch or a subsidiary.

The particular circumstances regarding the interests of the international firm may definitely determine the final choice of legal entity. However certain aspects have to be considered when choosing between a Dutch subsidiary and a Dutch branch.

The general characteristics of Dutch subsidiaries and branches are listed below.

Dutch branches

Branches are permanent establishments forming single entities with the international companies that register … Read more


Notaries in the Netherlands

Dutch notaries are members of the KNB (The Royal Association of Latin Notaries). They provide specific services different from the ones offered by other law practitioners, including attorneys, lawyers and tax advisors. Their most important features are their independence and impartiality.

Dutch notaries have university degrees in law and some of them specialize in particular areas, e.g. real estate, company or family law. If necessary the notaries can request services of other, more specialized law practitioners, including law firms. Notaries … Read more

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Everything You Need To Know About The 30% Ruling

As an expat, one incurs significant costs, especially upon relocation. Depending on the situation, an expat may have to pay for visa, residence permit application, driving licences, Dutch courses, housing and bills.

The 30% ruling is created to mitigate the negative effects of these expenses on one’s income.

Conditional on eligibility, the 30% rule means that the tax base of your gross salary as an expat in the Netherlands may be reduced by 30%.

How does the 30% rule work 

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The Netherlands: An Introduction

Why the Netherlands?

The central location of the Netherlands is one of the many assets that make the country perfect for setting up European and global offices. Holland has long been established as a main trading centre and is popular with its open economy. The country is highly developed and offers many opportunities to companies and people planning to stay or set up a business. There are also other important advantages to establishing a business in the Netherlands.

Dutch people … Read more


Establishing a Dutch Company: Sole Proprietorship or BV?

It is easy to start a Dutch business, but every entrepreneur has choices to make. First of all, one must choose the legal entity that will operate the business; this determines the taxes he or she will have to pay. The main question is whether to register a sole proprietorship (one-man company or Eenmanszaak in Dutch) or a BV (limited liability company or besloten vennootschap in Dutch). Which one is better?

The difference between a sole proprietorship and a BV

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