Six reasons to invest in the Netherlands 

Strategic location in Europe

The Netherlands provides a strategic location to serve markets within Europe, the Middle East and Africa. The central geographical position of the Netherlands, combined with accessibility and an excellent infrastructure are only some of the reasons why numerous European, American and Asian companies have established their facilities in the Netherlands.

International business environment

The Netherlands, long Europe's trading crossroads, is an obvious choice to locate a pan-European operation, whether it is a European headquarters, a Shared Services Center, a Customer Care Center, a distribution and logistics operation, or an R&D facility. The country's pro-business environment creates a gateway to Europe that helps international companies succeed throughout the continent. An international outlook and openness to foreign investment is firmly ingrained in the Dutch culture, and this has yielded a wealth of world-class business partners who know how to deal with global business challenges in today's economy.

Superior logistics and technology infrastructure

The Port of Rotterdam is the world's third largest seaport, while Schiphol Airport is recognized as one of the major business hubs in Europe claiming over 100 international awards over the last couple of decades. The Netherlands is also classified as one of the most ‘wired' countries in the world, a dynamic force in electronic commerce, communications and outsourcing. More than a decade of investment in high-speed Internet, cable and digital communication systems, as well as the rapid adoption of state-of-the-art computer and mobile phone technology, have created an ideal base for companies seeking to take advantage of modern technology.

Favorable fiscal climate

The Dutch tax system has a number of features that may be very beneficial in international tax planning. The relevant factors include a corporate income tax rate of 20 percent on the first € 200,000, and 25.5 percent for taxable profits exceeding € 200,000, which is well below the EU national average. In addition, the Dutch ruling practice, which provides clarity and certainty on tax assessments in advance, can be obtained on future transactions, investments or corporate structures. There is also a broad tax treaty network, reducing withholding taxes on dividends, interests and royalties (for interest and royalties, in some cases, taxes are reduced to 0 percent).

Additionally, there are no withholding taxes on outgoing interest and royalty payments. Dutch tax law also provides the participation exemption, which states that all benefits related to a qualifying shareholding, including cash dividends, dividends-in-kind, bonus shares, hidden profit distributions and capital gains, are exempt from Dutch corporate income tax.

Furthermore, a patent box called ‘The Innovation Box’ has been introduced, resulting in an effective tax rate of 5 percent for income in relation to a patent obtained for self-developed intangible assets. There are also advantages in debt and loss structuring: the Netherlands provides companies the ability to carry forward losses for nine years, and to carry them backward for one year.

Finally, there is the 30 percent ruling, which is a tax-free reimbursement of 30 percent of the employee's salary, provided that the employee has been recruited or assigned from abroad and has specific expertise scarce in the Dutch labor market.

Highly educated, multilingual and flexible workforce

The Netherlands features one of the most highly educated, flexible and motivated workforces in Europe. Dutch professionals are also among the most multilingual in the world, enabling them to successfully operate in companies in any industry serving customers throughout the continent.

Quality of life

The Netherlands is proud to have a high standard of living, while maintaining an affordable life for its residents. The costs of living, housing, education and cultural activities are lower than in most Western-European countries.