Doing Business in the Netherlands 2012 - American Chamber of ...

More documents

Recommendations

Info

20 International Distribution Centers/Customs Facilities Upon importation of goods into the free circulation of the European Union, import duties and import VAT (and if applicable, excise duties), in principle, become due. Import duties are calculated based on the customs value of the goods multiplied with the applicable tariff rate. The applicable tariff rate depends on the customs classification and the (preferential) origin of the goods. Once paid, import duties are in principle non-refundable and thus become a cost. Also, postponement of the levying of import duties using the applicable customs procedures may present the possibility of a cash flow advantage. Therefore, it may be beneficial to either postpone or avoid the levy of import duties for goods entering the Netherlands. One of these customs procedures is the storing of goods in a customsbonded warehouse. In the Netherlands, several customs warehousing arrangements are available by means of which the levying of import duties can be deferred. These customs warehouse facilities can be useful when goods are to be re-exported (in which case import duty and/or VAT may not be payable at all), or when there are difficulties applying certain import licensing requirements. Using the customs transit procedure, it is possible to transport goods under deferral of import duties between two places in the EU. In principle, in order to process imported goods, these goods would first have to be brought into free circulation. This could mean payment of import duties. If no measures are taken, these paid import duties cannot be refunded. In order to prevent the processing of goods from being shifted to countries outside the EU, different arrangements are in place to process goods with a deferral or refund of import duties provided that the goods are being exported from the EU (Inward Processing Relief - IPR). Also, it is possible to use an arrangement where the imported goods are subject to the tariff rate applied to processed goods (Processing 216 Baker & McKenzie
Doing Business in the Netherlands 2012 under Customs Control - PCC). This arrangement can, for instance, be beneficial to the pharmaceutical industry, where base materials, on the one hand, are subject to a relatively high import duty rate. The processed goods, on the other hand, are generally subject to a zero rate. Using the Outward Processing Relief (OPR), it is possible to have products from free circulation of the EU undergo processing or treatment in third countries and re-import these processed goods in the EU with a full or partial relief of import duties. 20.1 Customs Value and Applicable Customs Rate Import duties are calculated based on the customs value of the goods multiplied with the applicable tariff rate. The applicable tariff rate depends on the customs classification and the (preferential) origin of the goods. In order to determine the customs value of goods imported into free circulation, several methods can be used, which have to be applied in sequential order. This means that one is allowed to use only a subsequent customs valuation method if the previous method cannot be applied. The first and most common valuation method is the transaction value of the goods. In this respect, the transaction value is defined as the price actually paid or payable for the goods when sold for export to the customs territory of the EU. It is noted that certain additions or deductions to the customs value used may have to be made depending on the circumstances of the case at hand. At this point in time, Dutch customs does currently allow the use of the “first sale for export” as basis for the customs value. This means that an earlier transaction in a chain of transaction can be used, usually resulting in a lower taxable base. It should be noted that the first sale may be abolished with the introduction of the Modernized Customs Code well after 2013. However, it is expected that even then, it will still be possible to use such a transaction as the basis for the customs value, albeit that in that case the buyer in that transaction will have to act as importer of record. In general, for valuation purposes a ruling can be obtained from the Dutch customs authorities. This ruling is however valid only in the Netherlands. Baker & McKenzie 217
Page 1 and 2:
Doing Business in the Netherlands 2
Page 3 and 4:
Editorial Contributions Robert van
Page 5 and 6:
Page 7 and 8:
Page 9 and 10:
Page 11 and 12:
Page 13 and 14:
Page 15 and 16:
Page 17 and 18:
Page 19 and 20:
Innovative ways to inform you Doing
Page 21 and 22:
1 The Netherlands Doing Business in
Page 23 and 24:
Page 25 and 26:
Page 27 and 28:
Page 29 and 30:
Page 31 and 32:
Steady-Course Policy Doing Business
Page 33 and 34:
Page 35 and 36:
Page 37 and 38:
2 Legal Forms of Doing Business Doi
Page 39 and 40:
2.3 Branch versus Subsidiary Doing
Page 41 and 42:
Page 43 and 44:
Page 45 and 46:
Page 47 and 48:
Page 49 and 50:
Page 51 and 52:
4 The Subsidiary 4.1 Incorporation
Page 53 and 54:
Page 55 and 56:
Page 57 and 58:
Page 59 and 60:
Page 61 and 62:
Page 63 and 64:
Page 65 and 66:
Page 67 and 68:
Page 69 and 70:
Page 71 and 72:
Page 73 and 74:
Page 75 and 76:
Page 77 and 78:
8 Commercial Contracts 8.1 General
Page 79 and 80:
Page 81 and 82:
Page 83 and 84:
9 Real Estate 9.1 Ownership Doing B
Page 85 and 86:
Page 87 and 88:
Page 89 and 90:
9.7 Leases Doing Business in the Ne
Page 91 and 92:
Page 93 and 94:
Page 95 and 96:
Page 97 and 98:
Page 99 and 100:
Page 101 and 102:
10.5 The European Economic Area Doi
Page 103 and 104:
Page 105 and 106:
Page 107 and 108:
Page 109 and 110:
Page 111 and 112:
Page 113 and 114:
Page 115 and 116:
Page 117 and 118:
12 Telecommunications 12.1 Market S
Page 119 and 120:
Page 121 and 122:
Page 123 and 124:
12.9 Net Neutrality Doing Business
Page 125 and 126:
Page 127 and 128:
Page 129 and 130:
Page 131 and 132:
Page 133 and 134:
14 Labor Law 14.1 Term Doing Busine
Page 135 and 136:
Page 137 and 138:
Page 139 and 140:
Page 141 and 142:
Page 143 and 144:
14.4 Works Council Doing Business i
Page 145 and 146:
Page 147 and 148:
Page 149 and 150:
Page 151 and 152:
Page 153 and 154:
Page 155 and 156:
Page 157 and 158:
Page 159 and 160:
Page 161 and 162:
Page 163 and 164:
Page 165 and 166:
Page 167 and 168:
Page 169 and 170:
17.5 Income Tax Ruling Doing Busine
Page 171 and 172:
17.5.3 Status of the Employer Doing
Page 173 and 174:
Page 175 and 176:
Page 177 and 178:
Page 179 and 180: Doing Business in the Netherlands 2
Page 181 and 182: 18.1.7 Non-Resident Shareholder Tax
Page 183 and 184: 18.2.4 Method of Taxation and Tax R
Page 191 and 192: 18.6 Limitations on Deductions of I
Page 199 and 200: 18.9 Tax Incentives Doing Business
Page 227 and 228: 19.1.6 Rates Doing Business in the
Page 229: 19.3 Dividend Withholding Tax Doing
Page 239 and 240: 21 Investment Incentives Doing Busi
Page 247 and 248: 22 Financial Regulations 22.1 Excha
Page 259 and 260: 22.2.8 Other Regulated Activities D
Page 265 and 266: 23.3.3 Product Liability Doing Busi
Page 279 and 280: 24.13 Arbitration Doing Business in
Page 281 and 282:
Page 283 and 284:
Page 285 and 286:
Page 287 and 288:
Tax Corporate & International Tax H
Page 289:
www.bakermckenzie.nl Baker & McKenz
show all

Doing Business in the Netherlands 2012 - American Chamber of ...

Create successful ePaper yourself

Delete template?

Save as template?