Dutch News

WORK PERMIT REQUIRED: Foreigners working in the Netherlands require a work permit. An exemption may apply for foreigners neither living in the Netherlands, nor employed by a Dutch employer, who are (only) in the Netherlands for business meetings, provided that such meetings do not exceed the maximum period of four weeks within a 13 weeks timeframe.

HOUSE IN THE NETHERLANDS: Subject to passing of the proposed Bill (Belastingplan 2011) by the First Chamber coming 21 December 2010 and subject to meeting qualifying conditions, expatriates who still own a house in the Netherlands may continue to use the facility to claim the mortgage interest relief upon having rented out one's house. The facility will continue to apply to the end of 2012. Also, the transfer tax due upon subsequent sale of one's house (within a 12 months period) shall be limited to the excess value of the two transactions.

REDUCTION CORPORATE INCOME TAX RATE: As from January 1, 2011 the corporate income tax rate shall be reduced to 25%. The first EUR 200,000 of taxable income shall be subject to the reduced rate of 20% corporate income tax.

EMPLOYMENT AGREEMENTS FOR YOUNG PEOPLE:  Up to January 1, 2012 special rules apply for successive fixed term contracts for employees younger than 27 years. Only the fifth temporary employment contract with employees under the age of 27 automatically becomes a permanent employment contract. Furthermore the second or successive temporary contract shall only become permanent if (in total) a period of 48 months is exceeded. As soon as the employee reaches the age of 27 this regulation no longer applies.

For more information please visit: www.voskamplawyers.com