Tax consulting

VAT

Almost every company or enterprise will have to deal with value added tax (VAT). Most companies and enterprises will not run into major challenges regarding VAT on the regular purchase and sale of goods and services however is it wise to have expert advice ready. This is certainly the case with extraordinary and exceptional situations. These kinds of situations often receive special attention during VAT audits.

MPR Accountants can answer your questions, provide feedback on developments within your organization, and proactively approach you whenever changes in statutory or case law that may impact your company. Our services include:

• handling general VAT planning
• providing support during tax audits
• negotiating with the Dutch Revenue Office
• providing second opinions
• performing due diligence reviews
• assisting with compliance work

Personal income tax

Sooner or later, everyone is bound to deal with a personal income tax issue. Personal income tax concerns Dutch tax resident or non-Dutch tax residents who receive income from Dutch sources; Personal income tax is levied on your income (from your employment or business), your home, and your other assets.

Since 2001 personal income taxation takes place via a so-called box system. This system comprises three boxes: Box I handles income from employment (including a business) and home ownership, Box II handles income from substantial interests (shares), and Box III handles income from savings and investments (other assets). It is vital to allocate certain income elements to the appropriate boxes because each box has its own fixed or progressive tax rate. Professionals at MPR Accountants possess the in-depth knowledge and experience needed in order to guide you through the jumble of statutory provisions towards an optimal personal income tax route. This is the case in particular if you are faced with issues regarding certain personal income tax areas such as an individual’s personal residence, company car, endowment and annuity insurances, role as a director/major shareholder, business succession, profit from a taxpayer’s own business, trusts, and allocating income to a partner/spouse. Many provisions in these areas are extremely detailed and carry complicated transitional and exceptional provisions.

Our professionals are very experienced in advising clients such as high net-wealth individuals, entrepreneurs, and directors/major shareholders. Upon engaging our professionals you can be rest assured that you will receive the best solution for issues and problems in the personal income tax realm and an optimal tax position.

Dividend withholding tax

Dividend withholding tax is an integral part of profit but various options for substantially reducing this may exist in some cases. These reductions can be achieved by provisions in national legislation EU legislation or tax treaties.

We are more than willing to assist you in identifying possibilities to save on dividend withholding tax but it goes without saying that we will help you with fulfilling the right requirements and meeting the right deadlines.

Customs and excise

The import and export of goods customs usually comes with the imposition of custom duties. Special products, such as fuel, alcohol, and tobacco carry excise taxation which is levied upon the removal from warehouses and at importing. We are happy to assist you in the following areas:

• customs valuation
• customs procedures, such as those regarding warehousing, the processing of goods under customs control, and inward and outward processing
• excise tax
• luxury tax on new cars and motorcycles
• origin of goods
• classification in the combined nomenclature
• exemptions from import duties
• legal assistance

Payroll tax / Social security

Your employees receive compensation both in cash and in kind. A clear employment package, payroll tax and social security contributions all come into play. It is often unclear whether, when, or how compensation and allowances are subject to payroll tax and social security contributions. The regulations governing this field are complex and encompass numerous special arrangements, in such areas as pensions, stock option plans, and employees’ savings plans. More importantly the Dutch Revenue Agency regularly conducts audits in order to ensure companies’ compliance with the statutory requirements in this respect.

We can assist you during audits by the Dutch Revenue Agency and if and when necessary, we can also handle your objections and appeals procedures. We are more than willing to perform a tax analysis of your employees’ expense allowances, fringe benefits, equity-based compensation plans, and pension plans. You may expect us to proactively keep you up to date on changes in legislation and their consequences for employees and employers, as well as for agreements concluded by these parties. Furthermore we can perform periodic scans of your payroll accounting system in order to ensure that statutory requirements are fulfilled.

By engaging MPR Accountants you may avoid unpleasant surprises such as assessments that can be imposed retroactively for up to five years thereby also avoiding penalties, interest, and gross-ups.

Corporate income tax

Corporate income tax consequences arise from virtually every transaction your company performs. The rules and regulations governing this area are complicated and subject to constant change; furthermore it contains many special rulings and exceptions, as well as implementation and anti-abuse provisions. It is vital to know, especially where larger transactions are concerned, what the potential tax consequences are. Obviously the most tax-efficient route for reaching the desirable outcome is not to be forgotten.

The professionals at MPR Accountants offer advice and support to both domestic and multinational companies in the area corporate income tax. In doing so, we obviously strive to deliver maximum added value. We would very much like to support and advise you in the following areas; participation exemption; fiscal unities; mergers and demergers; investment institutions; rulings; permanent establishments and permanent representatives; collaborative ventures; loss set-off; avoidance of double taxation; thin capitalization / interest deduction and relocations of official place of business.

The broad range of statutory and regulatory law, as well as case law, offers opportunities to optimize taxes by using exemptions and deductions. Because of the fact that rules and regulations continue to be complex the risk exists that opportunities will go unused or tax will be paid twice. By engaging us early on, you can be sure that you will be conducting your business within an optimum tax structure with a close eye on potential risks.