Below is information on our most popular applications of European registered companies, aptly named Onshore European Companies (tax resident) and Offshore European Companies (non-resident) for easier comparison. Note that both types of European structures offer tax optimization schemes, each with their own approach.
Tax Resident Company
General Trading with VAT
- In onshore higher tax countries, tax rates can be minimized with advance tax rulings (The Netherlands) or using sophisticated tax minimizing structures such as in Austria.
- Other countries have a fixed, low corporate tax, allowing a simpler approach to structuring businesses (Cyprus, Latvia).
- VAT numbers are available to all tax resident companies, although easier to acquire and maintain in countries such as Cyprus, Latvia, Netherlands, Poland.
- Double-Tax Treaties can be applied with a tax resident company to reduce or eliminate withholding tax on dividends, interest and royalty payments.
- Substance requirements are proving to be essential in tax planning situations and in order to approve tax residency.
- Most Popular Applications:
Holding assets and real estate