Personal income tax
Sooner or later, everyone is bound to deal with a personal income tax issue. Personal income tax concerns Dutch tax resident or non-Dutch tax residents who receive income from Dutch sources; Personal income tax is levied on your income (from your employment or business), your home, and your other assets.
Since 2001 personal income taxation takes place via a so-called box system. This system comprises three boxes: Box I handles income from employment (including a business) and home ownership, Box II handles income from substantial interests (shares), and Box III handles income from savings and investments (other assets). It is vital to allocate certain income elements to the appropriate boxes because each box has its own fixed or progressive tax rate. Professionals at MPR Accountants possess the in-depth knowledge and experience needed in order to guide you through the jumble of statutory provisions towards an optimal personal income tax route. This is the case in particular if you are faced with issues regarding certain personal income tax areas such as an individual’s personal residence, company car, endowment and annuity insurances, role as a director/major shareholder, business succession, profit from a taxpayer’s own business, trusts, and allocating income to a partner/spouse. Many provisions in these areas are extremely detailed and carry complicated transitional and exceptional provisions.
Our professionals are very experienced in advising clients such as high net-wealth individuals, entrepreneurs, and directors/major shareholders. Upon engaging our professionals you can be rest assured that you will receive the best solution for issues and problems in the personal income tax realm and an optimal tax position.