If you are a Dutch national or resident in the Netherlands and you work in Germany, you should pay social insurance in Germany and income tax in the Netherlands.

We know this is expensive but this is the only way to register you correctly if you don't have an A1 from another European country. 

Unfortunately, it is not up to us to decide where you pay your taxes but that is something the local authorities decide. As a rule of thumb, you should pay social insurance where your do your main work activity (Germany) and income tax where you are resident (the Netherlands).

If you are a Dutch resident, working in Germany, and you do not comply with the law regarding social insurance and income tax payment, that means you are exposing yourself to potential fines from the local authorities and criminal proceedings in the country you are based now or in the future.

If you have a colleague who is also resident in the Netherlands, working in Germany and they are paying less social insurance or income tax, that means they also are exposing themselves to potential fines from the local authorities and criminal proceedings in the country they are based now or in the future.

There are ways to increase your salary retention in Germany and the Netherlands by uploading as many expenses as possible and opting for a private German health insurance. Please contact Cathy at matz@insure-invest.de to discuss about joining a private German health insurance scheme.

Please contact Carmel at carmel@oconnorandassociates.ie for questions related to your income tax in the Netherlands and Domenico at domenico@oconnorandassociates.ie for questions related to your social insurance in Germany (please have a look at the articles in the knowledge base before sending an email as most probably the answer is there already).