In terms of succession planning, we mainly focus on next generations. Succession can be an emotionally charged process. Nevertheless, it is important to have a clear view of the tax aspects. It may involve huge sums and it is good to know that there are plenty of good opportunities. A sound financing structure can yield a few dozen percent in benefits, as we can lower the tax due from almost 40% to a percentage as low as 3.4%. We can act fast if needed, but attach great importance to taking the time to get everyone on board in this process. Our experience is that a carefully planned succession is worth more than a quick tax advantage. We understand this better than anyone and welcome you to contact us for a meeting at an early stage of the process.

Estate planning is a highly personal subject. It mainly revolves around the question of how to handle your assets both during lifetime and upon death. To whom do you donate and/or bequeath assets? Whatever your wishes, there are various options to save on the gift and inheritance tax payable. We take a comprehensive look at your situation, including matrimonial property regime (or civil union) and your will. For business owners, it is not only important to whom and how to leave their business, but also consider control and continuity. In short, when it comes to estate planning, it is first and foremost important to ensure that all relevant documentation is in line with your wishes. This appears easy enough, but people often face issues in practice. We at C&B More are happy to help you with your estate planning. We listen to your wishes and come up with the best possible solutions. Even if you believe that you have arranged things carefully, we recommend to regularly reassess your planning, once every five years. You may find that your wishes have changed, that options in estate planning have evolved and that new legislation and regulations have been introduced.

The tax authorities have decided to focus on current account relationships with own private limited companies in the coming period.

Cancelling a debt of your own private limited company currently is a hot topic among tax experts. In brief, some tax consultants claim that a loan of your own company that you cannot pay off on your own can be cancelled by designating it as dividend distribution. Under certain conditions, the tax authorities allegedly would be unable to make a revised assessment of your income tax. With this method, paying income tax on the sum of the loan is completely avoided. It is an interesting hypothesis, but one with many vagaries. We believe that the truth is more nuanced, but would be happy to explore the options and opportunities in this area in your case. We will take account of your complete financial situation. We are happy to help.

A tax-exempt investment institution (vrijgestelde beleggingsinstelling – VBI)) is a fiscal vehicle exempt from corporation tax. If applied correctly, it is possible to lower taxes on your savings and investments. This is an interesting option for a surplus of liquidities in companies, for instance as a result of selling your company. The use of a tax-exempt investment institution prevents corporation tax to be levied over the return on such assets.

It can also be applied to assets under box 3 in various ways. The right application results in a lower level of taxation (see also property tax). Tax-exempt investment institutions are almost always a good option in cases of substantial assets, even with high yields! On the current market, this is virtually always the case and tax-exempt investment institutions can therefore be very lucrative. We have a lot of know-how in this field and are happy to explain the various options to you. We also refer to the information contained in this flyer.

The capital gains tax in box 3 has been the subject of much debate and litigation. There is an option to limit the tax levied under box 3. One of the methods is to transfer assets to a tax-exempt investment institution or onlend assets or deposit them in your own private limited company (BV). Although the last option is cheaper, it results in smaller tax advantages than the first option. But all of these options provide substantial tax benefits.  Therefore, it is worthwhile to examine these options for feasibility in your situation. We have extensive experience in this area and are glad to help.

The personal income tax, corporate income tax and VAT returns are often regarded as standard products. We would beg to differ, since the return contains a lot of valuable information. Based on the return, we can quickly paint a picture of the risks and possibilities at hand. With this information, we can give to-the-point advice for tax savings or even complete restructurings. Naturally, we will provide you with a high-quality tax return. Do not hesitate to contact us to discuss your situation.

Being wealthy is a comfortable situation, but it can become unpleasant when other people can easily find out details about your personal situation. In order to avoid such situations, people make use of Trust Office Foundations (STAK; stichting administratiekantoor). Since September 27, 2020, this solution is no longer sufficient as a result of the introduction of the so-called UBO register, in which all shareholders with a stake of over 25% in companies are listed. It will become more difficult to safeguard your anonymity after the introduction of this register. There are measures available to ensure that your anonymity is safeguarded better. C&B More understands your desire for anonymity and can aid you in taking the right steps.

The term defensive structure is linked to the privacy structure, but there is a clear distinction. In a defensive structure, you actually relinquish ownership of your property. This may sound strange, but it is regularly applied by people who want to protect their accrued assets or family assets. In actual practice, there are two methods that are much used, namely a Private Foundation (SPF: stichting particulier fonds) or trust. In both cases, you transfer your assets to the chosen vehicle after which it ceases to be your legal property. The Private Foundation or trust then administers the assets, but according to your wishes (formulated in a letter of wishes). The contributed capital will, under certain conditions, not be affected in a bankruptcy and it will stay out of reach of your children and third parties upon your death. You have to be well informed about the consequences of the various options before choosing the right one for you. Furthermore, you have to have a clear idea about your wishes. Based on its extensive experience, C&B More can provide input on your situation and on the best solution for your wishes.

Taxation plays an important role in transferring assets to next generations. It is a complicated process which involves gift and inheritance tax. Tax rates in gift and inheritance tax are progressive, and herein lie opportunities in the sense of progressivity advantage. There are several options to obtain this tax advantage, including gift on paper (gift under acknowledgement of a debt) or the use of a family fund (mutual fund). We give tailor-made advice in this area to suit your situation and will do our best to transfer your assets to the next generation in a tax friendly way.

A special way to pass on assets to your children is by setting up a family fund (mutual fund). You establish such a fund together with your children, but you remain in charge of it. The family fund enables you to transfer assets, year-on-year, to the next generation, without your children having direct access to the assets. This means that you do not have to fear the so-called Ferrari syndrome, in which your children spend ‘your’ assets in one go. C&B More has ample experience in setting up family funds and is happy to answer any of your questions.

Donations to charity are tax deductible, under certain conditions. Natural persons often make use of periodic donations. This involves you committing to making regular donations of a fixed amount per year for a consecutive period of at least five years. Non-regular donations are often subject to a threshold and a maximum amount in tax deduction.

Tax deductibility of companies’ donations to PBOs (ANBI) and supporting foundations are subject to a maximum of 50% of their profits with a maximum amount of € 100,000 per year. There can be situations in which you may want to donate more than the maximum amount. If there are well-founded reasons, it may be possible to waive the maximum.

C&B More can provide assistance to private individuals and companies wishing to make a fiscally sound donation. We are happy to find the best solution for your specific situation.

We heartily support donations to charities. Thankfully, there are options to make such donations in a fiscally attractive manner. For instance, you can make a periodic donation (at least five years) that is laid down in a deed to maximise your tax deduction. As a company, you can make the best possible use of the tax deduction for gifts. And in some situations, you may want to consider to set up your own Public Benefit Organisation (PBO – algemeen nut beogende inrichting / ANBI). But every situation is different and needs its own optimal solution. If you have plans to make a donation, please do not hesitate to contact us. We are happy to help.