Surprise! Netherlands Labeled a 'Tax Haven' by Obama

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SUMMARY

The Netherlands has been labeled a 'tax haven' by former President Obama, surprising many given its socialist reputation. The discussion highlights that foreign companies benefit from lower taxes while their employees contribute significantly to the tax base. Notably, the Netherlands offers a flat tax rate of 25% for foreign workers for the first ten years, attracting organizations like ESA. This tax strategy parallels Ireland's approach, where major corporations like Microsoft and Google have established their European headquarters to exploit favorable tax conditions.

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jaap de vries
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Who would have though that our "socialist" country would be labeled as such.

http://crossroadsmag.eu/2009/05/netherlands-is-tax-haven-obama-says-dutch-government-astonished-at-tax-haven-branding/

I am sure that this will be rectified soon.
 
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Then why do we pay so many taxes?
If I read that article correctly I can stay where I am but pay less, if I officially emigrate to the US and set up a business which employs me in the Netherlands?
 
CompuChip said:
Then why do we pay so many taxes?
Someone has to!
The Netherlands benefits because although foreign companies pay less tax there - all their workers do. Many US companies have their European headquarters in the Netherlands because of this.

There used to be some good deals for foreign workers as well - you could opt to just pay a flat rate (25% IIRC) tax for the first 10years - which is why non-profit organisations like ESA are there. And of course it's a great country to live and work in.

There's a similar setup in Ireland although it also promoted itself as a cheap labor market which is a bit short sighter.
Ireland has been in trouble with the EU for allowing some interesting tax rules. Microsoft, Dell, Google and Amazon are all based in Ireland and somehow manage to only make a profit there - while making a loss in all other European countries?
 

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