Withholding Tax in the Netherlands?

The Netherlands has various forms of withholding tax, where taxation is levied at the source. The primary types include dividend and payroll tax, while interest or royalties are not subject to taxation. Here, we provide a concise overview of the different types of Dutch withholding tax.

  1. Withholding tax on Dividend / Dividend Withholding Tax;
  2. Withholding tax on Salary / Payroll Tax.

Withholding Tax on Dividend

The profits distributed (dividends) by a company based in the Netherlands are the source for the levying of dividend taxation.  Dutch dividend taxation amounts to 15% of the yield of shares.  The purchase of shares or the paying back of share capital is subject to dividend taxation, but the yield is, in some cases, limited, which effectively leads to less dividend taxation being paid.

The tax treaties that the Netherlands is party to often limit its own right to levy dividend tax.  If a company established in the Netherlands pays out a dividend to companies set up abroad, it is worth examining if a reduction of dividend tax is possible. Here you will find an overview of the taxation treaties (in English) that the Netherlands has signed and the accompanying withholding tax rates.

We would only be too glad to help you to reduce the dividend taxation bill that you pay.  We can also help with the preparation and submission of dividend tax declarations.

Withholding Tax on Salary

Payroll tax is levied from a withholding agent on salary payments to employees.  Salary is, therefore, the source of taxation.  Since payroll tax and the national insurance premium are paid together, they are known as payroll taxation.  Payroll tax is a withholding tax on income tax.

Please feel free to contact us for more information. We would also be more than willing to help you to get a reduction in payroll tax.  Similarly, we can help you to prepare and submit payroll tax declarations.

Withholding tax Netherlands

Do you need information on Dutch tax ruling and withholding tax Netherlands? Please feel free to contact DTS Duijn Tax Solutions when you are looking for advice with regard to tax ruling in the Netherlands. We at DTS Duijn Tax Solutions are more than willing to offer you our expert advice and render assistance when it comes to withholding tax Netherlands. We will gladly offer you our many years of experience, since we know that it is hard to keep up-to-date with the latest regulations. Our experts are duly aware of the latest guidelines regarding many tax related matters.  Are you wondering what we can do for your business? Feel free to browse our website and see the many possibilities we have to offer.

DTS helps with withholding tax Netherlands

The Netherlands has various types of withholding taxes; withholding tax entails tax levied at the source. The two main types of withholding tax Netherlands are dividend withholding taxes and payroll taxes. In the Netherlands no taxes are levied on interest or royalties. These two types of withholding tax Netherlands are briefly described:

Dividend withholding taxes are based upon the profits distributed (dividends) by a company based in the Netherlands. Dutch dividend taxation amounts to 15% of the shares yield. Purchasing shares or paying back of share capital is subject to the payment of dividend taxation, but the yield may sometimes be limited, which might lead to less dividend taxation being paid. The tax treaties in existence for the Netherlands often limit its own right to levy dividend taxes. If a Dutch-based business pays out a dividend to companies set up abroad, it is worth examining if it is possible to reduce dividend taxes. We would be happy to help you examine the possibilities to reduce the dividend taxation bill you are obliged to pay. We can also render our assistance with the preparation and submission of dividend tax declarations.

Withholding taxes on salary, also called payroll taxes, are levied from a withholding agent on salary payments to employees. Salary is, thus, the source of taxation. Since payroll taxes and the national insurance premiums are paid as one, they are known as payroll taxation. Payroll tax is a withholding tax on income tax.

More information on withholding tax Netherlands

Please feel free to browse our website for more information. You can also directly contact one of our employees. Our highly qualified and experienced advisers are more than willing to help you get a reduction in payroll taxes. Moreover, we can help you to prepare and submit payroll tax declarations. We look forward to receiving your request for information and you can await our rapid response.

Get in touch

Amsterdam – Kleine-Gartmanplantsoen 21
Arnhem – Willemsplein 34-2
Nederland

DTS Duijn’s Tax Solutions B.V.
Bank: Rabobank
BIC: RABONL2U
IBAN: NL64RABO0167742167