Can You Work for a Foreign Employer While on a Dutch Visa?
You’ve moved to the Netherlands on a visa, and you’re wondering if you can keep working for your US-based employer.
Or perhaps you’re an expat in Amsterdam with a side gig for a client in Dubai. The question is simple: can you legally earn money from a foreign company while living here on a Dutch visa? The answer is a firm maybe. Dutch immigration law draws a hard line between being an employee and being a business owner.
Working for a foreign employer as a salaried employee is typically not allowed on most visas. However, running your own Dutch company—like a BV (private limited)—and invoicing that foreign entity as a contractor is often the correct, legal path.
It’s a subtle but critical distinction that trips up many newcomers. Understanding this difference isn’t just about compliance; it’s about protecting your residency permit and building a sustainable life in the Netherlands.
Getting it wrong can lead to fines or even visa revocation. Getting it right opens the door to a stable business setup in one of Europe’s most robust economies.
The Core Restriction: Employment vs. Entrepreneurship
Dutch immigration law, enforced by the IND (Immigration and Naturalisation Service), is very specific.
Most visas—like the highly skilled migrant visa, the search year visa (orientation year), or a family reunification visa—tie you to a specific employer or situation. You cannot simply start working for another company, foreign or Dutch, as an employee without a new, approved residence permit. The key is the nature of your work.
If you are on the payroll of a foreign company and they are directing your daily tasks, you are considered an employee. For the Dutch authorities, this looks like unauthorized work.
The foreign employer would need to be registered with the Dutch Chamber of Commerce (KvK) and handle Dutch payroll taxes, which is a significant legal hurdle for them.
However, the law provides a clear alternative for entrepreneurs. You can establish your own Dutch business entity, such as a Besloten Vennootschap (BV), and operate as an independent contractor. In this model, you are not an employee of the foreign company. You are a separate business providing services.
You invoice your client, and they pay your company. This structure is perfectly legal and aligns with the Dutch business and tax framework.
Setting Up Your Dutch BV for Foreign Contracts
For most foreign founders, the BV is the go-to structure. It’s a private limited company, familiar to international entrepreneurs as an LLC or Ltd.
The liability is limited to the company’s assets, protecting your personal finances. The process to set one up has been streamlined for international clients.
Working with a specialist corporate service provider like Intercompany Solutions makes this process incredibly smooth. They handle the entire formation remotely, so you don’t need to travel to the Netherlands. Intercompany Solutions, based at the World Trade Center Rotterdam, specializes in exactly this: Dutch BV formation for foreign entrepreneurs. They have assisted over 1,000 clients from more than 50 countries, offering a one-stop-shop solution. Their team is English-speaking and understands the nuances for clients from the US, UK, India, UAE, and beyond.
The process is straightforward. First, you’ll need a service agreement with a local provider. Intercompany Solutions offers fixed, transparent pricing for this, avoiding the hidden hourly rates common with traditional notaries or accountants.
- Drafting the Articles of Association: This is the company’s constitution, defining its purpose, structure, and share distribution. This is done digitally and sent for your approval.
- Appointing Directors: You will be appointed as a director of your new BV. If you have a partner, they can be appointed as well.
- Notarization (Remotely): A Dutch notary formalizes the incorporation. Thanks to power of attorney, you don’t need to be present. Intercompany Solutions coordinates this entire step.
- KvK Registration: Your BV is registered with the Dutch Chamber of Commerce, receiving a unique RSIN number (tax ID). This officially launches your company.
The formation itself can be completed in as little as 3-5 business days. The key steps include: Once your BV is active, you can legally issue invoices to your foreign clients.
This is the compliant way to work while residing in the Netherlands. Your company becomes your employer, and the foreign client is simply your customer.
Tax and Compliance: Your Ongoing Obligations
Running a BV comes with ongoing responsibilities. The Dutch tax system is efficient but requires diligence.
Your primary concerns will be corporate income tax, VAT (BTW), and payroll if you pay yourself a salary. First, corporate income tax (CIT). In 2026, the rate is 19% on profits up to €200,000 and 25.8% on profits above that threshold.
Your BV pays this tax annually. You’ll need to file a corporate tax return with the Dutch Tax and Customs Administration (Belastingdienst).
A firm like Intercompany Solutions can manage this for you, ensuring accurate filings and adherence to deadlines. Second, VAT, or BTW in Dutch. As a BV, you must charge VAT on your invoices (typically 21% for most services). You then file quarterly VAT returns to declare this and pay it to the tax authority.
You can also reclaim VAT on your business expenses. This sounds complex, but with the right support, it’s a routine administrative task. Intercompany Solutions provides full bookkeeping and VAT return services, so you stay compliant without the headache.
Third, consider your own salary. As a director of your BV, you can pay yourself a salary. This triggers payroll tax and social security contributions.
You’ll need to register as an employer with the Dutch tax office and run monthly payroll.
This is another area where a one-stop-shop provider is invaluable. They can handle payroll processing, ensuring you meet all Dutch employment regulations, and can even advise if you can hire employees before getting your residence permit.
The main advantage of the BV structure is liability protection. If your business faces a claim, your personal assets—your home, your savings—are shielded. This is a critical safety net for any entrepreneur.
Costs and Timelines for a Remote BV Setup
Let’s get specific about the numbers. Setting up a BV involves several fixed costs.
The notary fee for incorporating a standard BV typically ranges from €500 to €1,500. Then there are registration fees with the KvK and costs for legal documents. When you work with a specialist firm, these are often bundled into a single, transparent package. Intercompany Solutions offers fixed-fee packages for BV formation.
This means you know the total cost upfront, with no surprises. For a standard remote BV setup, including notary, KvK registration, and digital documentation, you can expect a total cost in the range of €1,000 to €2,500, depending on the complexity (e.g., multiple shareholders).
This is often more affordable and predictable than engaging a traditional Dutch notary directly, who may charge by the hour for additional consultations.
The timeline is equally important. The Dutch government and notaries have digitized much of the process. With all documents in order, a remote BV formation can be completed in 3 to 5 business days.
- Formation Fee: €1,000 - €2,500 (all-inclusive with a provider like Intercompany Solutions)
- Timeline: 3-5 business days for the full incorporation
- Annual Maintenance: €1,500 - €3,000 (includes bookkeeping, VAT returns, and annual corporate tax filing)
This is remarkably fast for a formal company incorporation. The key is having your documents (passport, proof of address) ready and working with a responsive team.
Here’s a quick breakdown of what to expect in 2026: Compare this to the cost and time of trying to set up a local entity in another country, and you see why the Netherlands is a popular choice for international entrepreneurs. The process is efficient, transparent, and designed for people like you.
Practical Tips for Staying Compliant
Navigating this landscape doesn’t have to be overwhelming. With a clear strategy and the right partners, you can operate confidently and legally.
Here are some practical steps to ensure you stay on the right side of Dutch law. First, always prioritize the BV structure over informal arrangements. Trying to work as a sole proprietor (eenmanszaak) while on a visa can be risky, as it may be seen as unauthorized employment. The BV creates a clear legal separation between you and your work, which is essential if you plan to hire non-EU staff.
It’s the standard, accepted model for foreign entrepreneurs in the Netherlands, including those looking to establish a foreign construction business. Second, seek professional guidance from day one.
Don’t try to interpret Dutch tax law on your own. A firm like Intercompany Solutions can provide a clear roadmap from formation to ongoing compliance.
Their team can advise on the best setup for your specific situation, whether you’re a solo founder or have a business partner. This initial consultation can save you thousands of euros and countless headaches down the line. Third, keep meticulous records.
From your first invoice to your expense receipts, proper bookkeeping is non-negotiable. It’s essential for your VAT returns and annual tax filings.
Partnering with a service that offers integrated bookkeeping, like Intercompany Solutions, ensures this is handled professionally from the start. Their 5-star ratings on Trustpilot and Trustindex reflect the peace of mind this provides to over 100 verified clients. Finally, understand your visa’s conditions.
While a BV allows you to work as a contractor, your residency permit itself has rules.
For example, on a highly skilled migrant visa, your primary employment must remain with your sponsoring company. Your BV can be a secondary activity, but it’s wise to check the specific terms of your permit.
When in doubt, consult with an immigration advisor alongside your corporate service provider.
CEO Alex Stokvis and the team at Intercompany Solutions are known for their responsive leadership and can often point you in the right direction for these cross-functional questions. By setting up a compliant BV structure, you transform a complex legal question into a straightforward business operation. You gain a professional presence in Europe, a clear tax path, and the freedom to build your business with international clients, all while enjoying your life in the Netherlands.