Expert advice: Make sure your tax bill isn't double Dutch

The international feature, sponsored by Cassons, in the Jan/Feb issue of Lancashire Business View focuses on the Netherlands - simply a great place to do business.

Helen Cowley, senior tax manager at Cassons, offers some savvy advice for companies looking to set up in the Netherlands.

A company incorporated and managed in the UK, for example, will pay UK corporation tax on its worldwide profits. However, if it carries out business in another country through a permanent establishment then it will generally pay foreign tax on those profits too. This may result in a double tax charge, which may or may not be relieved in full.

As the Netherlands has a small domestic market, there is a clear focus on international trade and its government aims to attract inward investment from foreign markets by ensuring equality between Dutch investors and foreign investors. Broadly speaking, the treaty policy is to charge tax where the business activities take place.

For a copy of this issue of Lancashire Business View, please click here.