BV in The Netherlands, Residency in Austria

[parichaymehta]

Hello, I have started a BV in the Netherlands this year. I am living in Austria for personal reasons. I would like to know if I take salary from the company, how will it be taxed? My primary residency is registered in Vienna. In case I take salaries, do I pay the taxes (Payroll, Income) in NL or in AT? I haven't been able to get answers online and after getting in touch with a payroll specialist, I still haven't gotten a clear answer.

[Joost Rietveld]

The tax treaty states that NL is allowed to levy taxes on director's salary's from Dutch BV's. Austria should grant compensation to avoid double taxation. Perhaps it's better to get help from a Salary Tax specialist in stead of a payroll specialist (the latter usually only deals with NL taxes).

[Daxto.com]

Hello,

As far as my understanding goes; both countries will share taxing you. But different parts. If all goes well, this is split in such a way you are not double taxed. Both countries being in the EU might even make things easier for them, and thus you.

If you employ people that live/work in the Netherlands, make sure to read this page from our official tax office. Payroll tax will have to be paid in the Netherlands.

Depending on how you take salary from your BV, it might differ how and by whom you are taxed. For example, see this page.

So for questions about taxing being split for you personally, between both countries, feel free to contact the helpdesk of our tax office (called Belastingdienst) via this page.

[parichaymehta]

Joost RietveldThank you for your reply. Is there a list of recommended Salary Tax Specialist on this forum? I have gotten in touch with a Payroll Specialist, but like you said, it is of no use.

 

Daxto.comThank you for your reply. It is a one-person company so I'm the director, 100% shareholder, and the only employee as well. Currently, I am just taking a salary and not a dividend. But I had read somewhere that it is necessary to take a minimum amount of salary by the director. I don't know if that applies to a director that is a non-resident.

[Joost Rietveld]

not that I am aware of. You could try www.pay-check.nl

[Daxto.com]

1 uur terug, parichaymehta zei:

Thank you for your reply. It is a one-person company so I'm the director, 100% shareholder, and the only employee as well. Currently, I am just taking a salary and not a dividend. But I had read somewhere that it is necessary to take a minimum amount of salary by the director. I don't know if that applies to a director that is a non-resident.

If you take a regular salary from your Dutch BV, then you are bound by Dutch laws and regulations. Including the minimum salary. Even if you do not live within the Netherlands, because this is taxed to the BV, and not you as a person. Our tax office also states here (Dutch) the following, translated to English:
 

Quote

If you allow yourself to be paid no salary or an unusually low salary, we will still take into account a so-called customary wage. The BV must withhold and remit payroll taxes on this customary salary.

So if you do not meet the minimum, the BV is still required to pay tax as if you took at least the minimum (customary) salary. And that tax is payroll tax, just like you would for an employee.

[Joost Rietveld]

2 uur geleden, Daxto.com zei:

If you take a regular salary from your Dutch BV, then you are bound by Dutch laws and regulations.

'if' being the operative word, just to avoid any confusion