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1. The Basics of Dutch BV Incorporation
Dutch BV is a business entity in Netherlands with a legal status as private limited company. Due to
flexible Dutch legislature and beneficial corporate climate, Netherlands has been attractive the foreign
investors to establish a business in this jurisdiction. This document is going to discus basic information
required to set up Dutch BV.
Corporate tax policy:
Recently modernized Netherlands virtual office law allows a wide range of tax breaks and other fiscal
practices to reduce tax rates need to be paid that is currently 25.5% .
Shares and shareholders
Shares in a BV are transferable and privately owned, either by one or more individuals and/or legal
entities. Even when there is only one shareholder, there is no personal liability.
Liabilities:
The liability of any shareholder is normally limited to the amount of his/her share in that company.
Upon liquidation of the company it is concluded that a shareholder has not complied with rules and
regulations, he can be held personally accountable.
Specific requirements:
In order to register as a BV, a company must meet several criteria. Most importantly, there is the
requirement for a minimum reserve capital of € 18,000 and this capital is considered an investment in
the company.