Tax-Efficient Supply Chain Managementlp.ryan.com/rs/176-QHV-407/images/Tax Efficient... ·...
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Tax-Efficient Supply Chain ManagementDue to its central location, excellent infrastructure, and multilingual culture, the
Netherlands is a popular location for European supply chain solutions, including
distribution activities or customer support services. Supply chain strategies are
often a key part of optimizing and streamlining an international business model.
Companies may be interested in reviewing their supply chain strategy for a number
of reasons; it is also an excellent time to review the tax exposure of the business.
The key tax areas to look at in this respect are generally corporate taxes (including
withholding taxes), value added tax (VAT), and customs duties.
Historically, the Netherlands is an excellent location to set up such a centralized
entity for your company (generally referred to as a “shared services center”).
Moreover, the Netherlands is an advantageous jurisdiction to establish the head
office of your business (due to its location with main ports in Rotterdam and
Amsterdam) for tax-efficient manufacturing, distribution, and customer support.
In addition, companies may be looking at factors like the avoidance of “red tape”
environments and the overall cost of centralized distribution versus drop shipments.
Tax is a key part of this equation. The sale and distribution of products to other
European markets can be optimized for tax purposes.
As a form of supply chain optimization, a business may be looking to centralize
certain processes and operations in a single core entity. This entity typically has a
highly trained and specialized staff performing activities such as management,
research and marketing, and cost reduction at local operations, so the focus is
solely on sales or manufacturing activities.
Additionally, the Netherlands offers a few additional benefits that make it
particularly appealing as a shared services center jurisdiction. These benefits are
summarized as follows:
Mitigating Dutch dividend withholding tax – An active Dutch entity should not be subject to Dutch
dividend withholding tax, provided that the relevant requirements are met.
Option for other functional currency – A taxpayer can calculate its profits in a currency other than
euros for Dutch tax accounting purposes.
Dutch bilateral investment treaties – Investments in some foreign jurisdictions can entail the risk of
expropriation or unfavorable treatment. The treaties protect a foreign investor against these occurrences,
generally ensuring that local subsidiaries or businesses of foreign investors are treated on equal footing
with domestic entities. The Netherlands has currently entered into 104 bilateral investment treaties
(BITs) with other countries.
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International TaxRyan’s International Tax experts have years of experience developing and
implementing solutions that address the challenges facing multinational clients
around the world.
Rapid globalization is creating a challenging tax environment, as multinational
companies continue to expand operations abroad. Complex global operating
and supply chain models, designed to gain a competitive advantage in the new
economy, only add to the challenges of international taxation.
Substantial differences in the combined corporate income tax rates for the largest
countries present significant issues for multinational companies managing tax affairs
on a global basis. Likewise, the structure of today’s global business can have a
material impact on financial statements and results. Ryan’s International Tax
practice helps clients effectively navigate this competitive and challenging
environment. We scour our clients’ global business transactions to deliver customized
international tax plans, cross-border solutions, VAT advisory and recovery services,
tax compliance, tax accounting, and intercompany pricing strategies that
support business objectives and reduce overall global effective tax rates.
Ryan offers a flexible fee model that incorporates contingency, fixed-fee, or
hourly billing to accommodate unique client preferences and ensure maximum
client return on investment.
The Ryan Difference Ryan, a leading global tax services and software provider, is the largest Firm in the
world dedicated exclusively to business taxes. Ryan provides a single source indirect
tax solution that is unmatched in the industry today. Companies in the Netherlands
gain access to an integrated suite of VAT recovery, advisory, and compliance
solutions; innovative tax technology offerings; and international income tax and
transfer pricing services that dramatically improve tax performance and profitability.
Ryan’s Netherlands operations, located in Amsterdam, is staffed with seasoned
tax professionals with detailed local knowledge and backed by a large team of
International Tax experts sharing knowledge, technology, and best practices for
delivering significant tax savings and process improvement. Our performance-driven
compensation model for VAT recovery is based on the tax savings that we deliver,
which mitigates client risk and focuses our efforts on delivering significant tax savings
and superior results.
The entire Ryan team looks forward to helping companies across the Netherlands
improve profitability, cash flow, and performance through proven tax advisory
and technology services. Every member of our Firm is committed to delivering
outstanding client satisfaction and tremendous value.
Award-Winning Tax Services
For additional information
+31 (0) 20 570 3520
ryan.com/netherlands
© 2017. All rights reserved.
Ryan Netherlands B.V. provides clients with tax consulting, recovery, compliance, advocacy, technology and other client-related professional services. Ryan Netherlands B.V. is a constituent entity of Ryan International, a Swiss Verein. Ryan International is a Swiss Verein whose member firms and constituent entities form a leading network of tax advisory and consulting firms, each of which may be licensed to use the name “Ryan” in connection with providing tax advisory and consulting services to its clients. The member firms of Ryan International and their constituent entities operate throughout North America, Europe and Asia in accordance with local regulatory requirements but are not a part of a single international partnership. The responsibility for the provision of services to a client is defined in the terms of engagement between the client and the applicable member firm or constituent entity. Neither Ryan International nor any member firm or constituent entity of Ryan International is liable or responsible for the professional services performed by any other member firm or constituent entity. Ryan International is not itself engaged in the practice of providing professional services. Rather, it is an international umbrella entity organized as a Verein under Swiss law. Not all member firms and constituent entities provide the full range of services mentioned within this brochure. “Ryan” and “Firm” refer to the global organizational network and may refer to one or more of the member firms of Ryan International, each of which is a separate legal entity.