Dutch Corporate Income Tax
The Dutch corporate income tax − or corporation tax − is the amount of tax you have to pay over your profits of a single financial year. The taxpayer has to make sure that the return has to be completed and filed in time.
All Dutch resident companies are liable to tax in the Netherlands for their worldwide income. Both public and private companies pay this Dutch corporate income tax. Foreign companies are subject to tax in the Netherlands as well if they have income from Dutch sources. But due to the fast-changing legislations and regulations, it can be really difficult for a (foreign) company to understand all the complicated rules of corporate income tax in the Netherlands. It is our experience that Dutch holding companies, but also other companies with foreign income, have troubles meeting this deadline for filing the tax return. TGS lime tree therefore not only prepares and files tax returns, but also applies for extension of this filing date.
Exemption for income from participations
A subsidiary company distributes its profits to their parent companies in the form of dividend. The participation exemption exempts parent companies from paying tax on those dividends. Being taxed twice is prevented in this way. This exemption can apply to income from substantial holdings in both resident and non-resident companies, and it’s a key feature of the Dutch tax regime, since profits aren’t taxed twice. We can also assist you with any questions regarding this matter.
To reduce the risks, many companies approach a firm, specialized in corporate income tax in the Netherlands, to help them out. TGS lime tree does exactly that: we help other firms find corporate income tax solutions, perfectly tailored to their needs. When you seek help for your Dutch corporate income tax, you can prevent your firm from making costly mistakes because, as being said, the Dutch (corporate) income tax rules and legislations are really complicated.
Here at TGS lime tree, we can help you at with all your questions regarding corporate income tax in the Netherlands. Our Dutch corporate income tax advisors can help you out, even with the most difficult questions.