How are American LLC taxed in NL?

[mscdevall]

Hello,

 

I became recently Netherlands tax resident and I have a LLC in the US.

It is one owner small business that does not generate much profit, but I still need to declare it here.

 

Does someone know how it will be taxed here?

Is it Box 1? Box 3? Or Corporate Tax?

Is it considered a dividend or a profit, or both at the same time?

 

Thanks in advance for your help!

[Joost Rietveld]

Hi, welcome to higher level.

 

An LLC in the US can be eligible for Dutch taxation if the director of the LLC is a resident here. I take it that that's the case. If so, then your LLC is taxed as a foreign corporate entity, meaning that the LLC itself has to pay corporate income tax. Vennootschapsbelasting in Dutch.

 

Best regards and happy New Year

[mscdevall]

Hey,

 

Thanks for your reply.

 

I see, so that is 15% up to 245,000€ of profit then?

 

Thanks and happy new year!

[Joost Rietveld]

As of today the threshold is 395k, and your LLC should be entitled to avoidance of double taxation

[mscdevall]

Thanks much!