EU Tax Guide
Tax guidance for FlexDuty experts based in the European Union.
Overview
Tax requirements vary by EU country. This guide provides general principles.
General Principles
As an EU-based contractor:
- Register as self-employed in your country
- Pay income tax and social contributions
- VAT may apply
- No tax withholding from FlexDuty
Country-Specific Resources
| Country | Tax Authority |
|---|
| Germany | Finanzamt (local tax office) |
| France | impots.gouv.fr |
| Netherlands | Belastingdienst |
| Spain | Agencia Tributaria |
| Italy | Agenzia delle Entrate |
| Ireland | Revenue.ie |
| Belgium | SPF Finances |
VAT Considerations
B2B Services (to FlexDuty clients)
When providing services to businesses outside your country:
- Within EU: Reverse charge mechanism
- Outside EU: Zero-rated (export of services)
- You may still need to register and file returns
VAT Registration
- Thresholds vary by country
- Some countries have no threshold for certain activities
- Voluntary registration often beneficial
VAT Reporting
- File regular VAT returns
- Report cross-border services appropriately
- Keep VAT invoices
Social Security
Posting to Other EU Countries
- Generally taxed where you’re established
- A1 certificate may be needed for work in other EU countries
Social Security Agreements
EU countries have coordination rules - typically you pay where you’re resident.
Double Taxation
Tax Treaties
Most EU countries have treaties with:
- USA (where FlexDuty is based)
- Each other
- Many other countries
These prevent being taxed twice on the same income.
Country Highlights
Germany
- Register with Finanzamt
- Income tax rates: 0-45%
- Church tax if applicable
- Quarterly advance payments
- VAT threshold: €22,000
France
- Déclaration d’activité required
- Income tax: progressive rates
- Social charges (URSSAF)
- TVA threshold: €36,800 for services
Netherlands
- Register with KVK
- Income tax: 36.97% (up to €73,031)
- BTW threshold: €25,000
Spain
- Alta en Hacienda required
- IRPF: progressive rates
- Quarterly declarations
- IVA threshold: No specific threshold
Record Keeping
EU standards require:
- 7-10 years retention (varies by country)
- Invoices and contracts
- Expense documentation
- Bank statements
Digital Nomads
If you work remotely across EU:
- Tax residence matters
- Consider where you’re physically present
- Some countries have special regimes
Getting Help
- Consult local accountant
- Use country-specific tax software
- Check EU tax portal: ec.europa.eu/taxation
Disclaimer
Tax laws vary significantly by country. Always consult a local tax professional for advice specific to your situation.
