Income in the Netherlands

Dutch salary:

This is the most straight forward  and secure way of earning money. You earn a gross salary  and your employer withholds income tax. All taxes are settled by the Dutch Income tax.

Salary from South Africa :

While living in the Netherlands you might decide to continue receiving a income from your South African employer. The big  question is who will be withholding your salary taxes.

You will not pay double tax!

The Dutch Foreign State Office has drawn up a treaty with countries called “double tax treaty” which prevents the Dutch Tax Authorities to calculate double tax when enjoying a foreign salary from South Africa, meaning you will not pay double tax if salary is taxed by SARS!!!
This will only reflect  when the Dutch Tax Resident (with your Dutch BSN nr.) work physically in South Africa more than 182 day.

Will your salary be taxed by SARS ?

If your SA salary is taxed by SARS, you will receive an IRP 5 form from your South African employer. SARS will now withhold the salary tax and you need to file your Income Tax with SARS.
Working for a SA company while residing in the Netherlands as Dutch tax resident (having a Dutch BSN nr)
means that you must pay SARS tax on your salary via your IRP 5 form.

Business Opportunities

Another way to deal with your gross salary from South Africa fiscally is becoming a small entrepreneur ( ZZP)
Find Out More
If you receive your SA salary as gross in your Dutch bank account, you need to report this income via your Dutch Income Tax. You will now pay your salary tax to the Belastingdienst.
Your accountant will ask for the total gross amount for the fiscal year. ( M Form or Income tax return)

Your gross salary from South Africa via a Dutch payroll

You can choose to have a secure monthly income where a payroll service  withholds your gross salary tax (P.A.Y.E  ‘Pay As You Earn) every month and pay the salary tax to the Dutch Tax authorities.

This is a secure clean method where you pay all your dues to the Belastingdienst on a monthly basis ( via the payroll company). You will receive a monthly nett income.