Originally, I am from the Netherlands. Since january 2016, I have been working remotely all around the world. But even though I havenโt been in the Netherlands this year, I am still paying taxes there. Iโm still registered as a citizen.
I have to unregister in the Netherlands as a citizen. But if I donโt register somewhere else, or have a freelance status or company somewhere else, I would still have to pay 50%+ taxes. This is, of course, not fun at all.
So I decided to move my business elsewhere. Either get freelancer status in another country, or create a business there to send invoices from. Which brings me to my question:
What is the best country tax-wise for a Dutch freelancer?
As of now, I found two solutions:
- Have an agency set up a company in Bulgaria. It will kost 3000 euro a year, once 3300 euros and extra money if I want residency. And then of course 10% income tax on my earnings.
- Have an agency set up a company in Dubai. It will cost around 2000 euro annually and 5000 euro once. No income tax.
Wether residency in an other country is required for the Dutch tax authority to not tax your world income, seems to be a grey area. However, if I unregister in Holland and send invoices from a company in a whole other country, it should be fine.
I have little or no experience. People with know-how: would you be so kind to comment on these options?
Are there alternatives I should consider?
I donโt really like to hire an agency. Iโd rather just fly to a country, fill out paperwork, incorporate there and from then on invoice from that company. If itโs too bureaucratic, I wouldnโt mind hiring a local lawyer or accountant to do it for me.
Do you know a country where there is no or a low income tax and this process is relatively easy and suitable for Dutch freelancers?