Dutch B.V. - UAE LLC; Feedback on the setup and structure

[Rekt007]

Hello Guys,

I have recently joined the forum as google search has pointed me time and again in this direction. This is my first post and I have already tried the search function but I still need some feedback on my below plan:

Background:
FYI – I already have a UAE residence permit as a partner and a personnel bank account. I want to change my visa status due to a brewing uncertainly in my current uae company and partners.

Moving on, I am a Dutch citizen and have a business in the Netherlands where I provide services as a consultant. However, the downside is that I am liable to a lot of tax in NLD. Therefore, like anyone else I would like to be tax efficient. For e.g. going forward I would like to give myself a minimum Dutch director salary of €55K and the remaining amount I would like to transfer from my Dutch company to the holding company in UAE either via underwriting costs such as management fee or via providing a loan. However, I would also need full nominee service for this operation, as the contract between my UAE and Dutch company should not reveal my name as a beneficiary of UAE company.

I would also appreciate feedback on efficient ways to either give myself dividends or salary without paying CT taxes through the Dubai company.

Also in future, I would like to buy some real estate through an UAE operational company. Therefore, can this freezone holding company become a parent company to my Dutch consultant service company and other companies I decide to open down the line to do business in Dubai mainland for e.g.. real estates or Airbnb management company? I understand that freezone companies cannot run an Airbnb business..

Additional information - : I also hold a good amounts of crypto, therefore I would also like to move this through my company in Dubai and encash large amounts to my holding compnay in uae if possible so I can make investments via the company. Currently I can cash out small amounts via Rain.bh to my emirates NBD personnel bank account but anything too large, and I might get a call from them.

Sorry for the jumbled-up question but I basically seek the following:

• Recommendation for the consultancy that can help advise me on the proper UAE structure based on my above situation.
• Information / advise on withdrawing large sums of cash selling bitcoin / USDT and then buying real estate or business with it.

Thank you for your answers in advance.

 

[Sigma]

Following...

 

[Mr Gus]

Is the Dutch trading company owned by the UAE holding company?

Are you tax resident in the Netherlands or the UAE?

 

[Rekt007]

Is the Dutch trading company owned by the UAE holding company?

No, it is not owned by UAE holding company. However since I am limited in my knowledge, would it be tax efficient? and how can this be done? Thanks for your reply btw.

 

[Mr Gus]

No, it is not owned by UAE holding company. However since I am limited in my knowledge, would it be tax efficient? and how can this be done? Thanks for your reply btw.

But you own the UAE company? And where are you tax resident?

 

[Rekt007]

But you own the UAE company? And where are you tax resident?

This was an investment pitched to me by former associates some years back, where I would be a partner in the company for a certain capital stake + profits divided as per the stake. However things did not go as planned and fast froward 2024, company is in a loss and I want to move away from the mess asap.

In the meantime, I started working as freelancer and after paying heavy taxes to Dutch govt in last couple years, I want to open a holding company in UAE which can sponsor my visa + underwrite costs to my Dutch BV.

I am currently Dutch tax resident as I reside here however in next 2-3 years, I would like to move to UAE.

 

[Mr Gus]

This was an investment pitched to me by former associates some years back, where I would be a partner in the company for a certain capital stake + profits divided as per the stake. However things did not go as planned and fast froward 2024, company is in a loss and I want to move away from the mess asap.

In the meantime, I started working as freelancer and after paying heavy taxes to Dutch govt in last couple years, I want to open a holding company in UAE which can sponsor my visa + underwrite costs to my Dutch BV.

I am currently Dutch tax resident as I reside here however in next 2-3 years, I would like to move to UAE.

I would recommend not trying any artificial ways to reduce your tax burden in the Netherlands as long as you are still tax resident there, just pay the full amount as long as you live there, and declare everything you have. As well keep in mind that you are not allowed to make use of the tax treaty between the Netherlands and the United Arab Emirates since that treaty is only applicable for UAE CITIZENS, so if you eventually decide to move to the UAE be sure to cut every single tie with the Netherlands (No bank accounts, cars registered on your name, no residences, memberships etc).

As long as you are tax resident in the Netherlands you have to declare ownership in foreign companies, bank accounts etc.

 

[Rekt007]

I would recommend not trying any artificial ways to reduce your tax burden in the Netherlands as long as you are still tax resident there, just pay the full amount as long as you live there, and declare everything you have. As well keep in mind that you are not allowed to make use of the tax treaty between the Netherlands and the United Arab Emirates since that treaty is only applicable for UAE CITIZENS, so if you eventually decide to move to the UAE be sure to cut every single tie with the Netherlands (No bank accounts, cars registered on your name, no residences, memberships etc).

As long as you are tax resident in the Netherlands you have to declare ownership in foreign companies, bank accounts etc.

Thanks for the feedback. I read some posts about tax optimization via legal ways / loopholes and hence wanted to further explore if there is a indeed options.

 

[Mr Gus]

Thanks for the feedback. I read some posts about tax optimization via legal ways / loopholes and hence wanted to further explore if there is a indeed options.

There are none and if even there are and you are completely complaint with all the tax laws there is still the difference between "gelijk hebben en gelijk krijgen" The Dutch tax authorities don't care if they are in the right or wrong, they have unlimited resources and have free game, there is no punishment if they f**k something up. Look at the past few years only with the toeslagenaffaire for example, they destroyed lives, families, people even committed suicide because of all the stress and tax debt given to them by the tax authorities, and these where not even rich people.

I don't see why anyone would risk it, just get the f**k out if you are done with paying taxes in the Netherlands.