Establishing A Business Entity In The Netherlands

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TYPES OF BUSINESS ENTITIES -

In the Netherlands, we distinguish legal entities which are by law acknowledged to be legal persons (“rechtspersonen”) and entities which do not have the status of a legal person. The latter category may be regarded as types of co-operation between entrepreneurs, which co-operations will mainly be transparent for tax purposes. Income tax will be levied at the level of the partners of the co-operation entity, not at the level of the entity itself. For more information about some items of Dutch tax law in relation to enterprises, see hereafter under Tax Issues. Legal persons are subjects of law and as such carriers of rights and obligations like individual persons are. The rights and obligations of non-legal persons in principle are carried by the persons or legal persons for whose account the non-legal entity is carrying on its business activities...

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