Double tax treaty - does it apply to me?

Questions and Answers > Category: Taxation of IP > Double Tax Treaty – does it apply to me?

Vasilisa 4 years ago

Hello! I am a Russian citizen, living in the Netherlands on a work visa, which I received through my partner, a Kennis migrant from Russia. I work remotely for work in Russia. I pay 30% tax there as a non-resident. Should I pay any taxes on my salary here in the Netherlands and generally somehow report my income in Russia to the Dutch tax office? And if I pay a 13% tax in Russia as a resident, is this again a question of my relationship with my homeland or will something change in my tax relationship with the Netherlands? Thank you!

2 response

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Nalog.nl Admin 4 years ago

Good afternoon, Vasilisa!
As far as we understand your situation, you are living here on a partner visa, not a work visa. After all, if you come to a partner, you get exactly the partner visa. Such a visa is more convenient, since it does not tie you to an employer and allows you to run your own business.

Regarding your income from Russia: as a resident of the Netherlands, you are required to show all of your worldwide income on your tax return. Specifically, your income falls into box 1 - income from work. However, you have the option of not paying the full tax as your income will be subject to double taxation. You are not required to pay income tax, but you still have to pay social security tax.

We recommend that you open EMZ. You can read more about how to do this here:
https://www.nalog.nl/information/biznes-v-niderlandax/registraciya-chastnogo-predprinimatelstva-emz-v-niderlandax/

By opening EMZ, you will be able to display invoices in Russia. In this case, your income will not be taxed in the Russian Federation. In the Netherlands, EMZ is subject to a small tax rate (depending on size and other factors). An additional plus will be that you will have official employment, which will be very beneficial if you want to take out a mortgage, send your child to kindergarten or invite relatives to visit.

If you need a more detailed consultation with the calculation of your personal situation, please contact us, we will be happy to help. You can sign up here:

https://www.nalog.nl/all_services/private_persons/konsultacii/

Regards, Nalog.nl Team

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Vasilisa 4 years ago

Thank you very much, I will understand!