Netherlands | Pay your fair share

[Tim]

MINISTRY OF FINANCE​

Recipient Subject Security

Sparrow Industries < Hollie >​ Taxation update​ PRIVATE​

Dear Mrs. Durand,

This e-mail is regarding the taxes paid by Sparrow Industries (KvK 28567895). Starting April 1998 the way taxes are paid will change for Sparrow. The tax period for the 2% VAT on all orders will change to quarterly or monthly (up to Sparrow Industrie's choice). The tax filings will need to include the total revenue of all orders in the period, and the 2% VAT that is calculated from this.

Starting with April 1998, which is also the start of Q2 of 1998, taxes and their filings will be due before the end of the month following the period of taxation. For example: in the case of April, if opted for monthly taxes will need to be filed and transferred before May 31st. If opted for quarterly the deadline for Q2 will be July 31st.

For our administration please inform us wheter Sparrow Industries will be changing their VAT period to monthly or quarterly. Let me know if you have any questions regarding this.

Yours sincerely,

W.A.F.G. Vermeend​

​

State Secretary​

Ministry of Finance​

 

[Hollie]

This Response is PRIVATE and ENCRYPTED

Thank you for contacting Sparrow industries. It is my understanding of state law that such supplies are taxed at 0% VAT, if you're exporting goods to other countries. This is providing that our administration can show the goods have actually left and are in receipt of a private individual or an entrepreneur. We are happy to supply a copy of the freight bill and letter correspondences from clients. Furthermore, we have no manufacturing facilities in the vicinity of the Netherlands so goods are supplied from other neighbouring states, such as the United Kingdom. If assets pass through the Netherlands, it's only to transfer them to our businesses elsewhere. This is what you call an intra-Community supply.

Please do inform us if the laws and regulations of your state have changed since we opened our Headquarters, though we remain forever vigilant.

​

Chief Executive Officer ?
Tim

 

[Tim]

MINISTRY OF FINANCE​

Recipient Subject Security

Sparrow Industries < Hollie >​ Taxation update​ PRIVATE​

Dear Mr. Smith,

Apologies for the miscommunication. The VAT I mentioned was the special corporate tax that we have recently implemented for Sparrow Industries in the Corporate Tax Resolution 1998, due to your company's special nature in international business. It has come to my attention that this resolution had not yet been published at the time of my first correspondence, but now is. The terms as described in my initial e-mail are the same, but the descriptor of VAT was used for this special corporate tax as the bill was still being drafted and has seem some adjustments since then.

As described in the resolution April 1998 and all tax periods after are included. As I asked in my first correspondence, please inform us whether Sparrow Industries will be paying this special corporate tax monthly or quarterly. We will ensure Sparrow Industries receives the appropriate forms (that are currently being made) before the deadline of filing, and will grant extentions if this is not done within a reasonable time.

Yours sincerely,

W.A.F.G. Vermeend​

​

State Secretary​

Ministry of Finance​

 

[Hollie]

This Response is PRIVATE and ENCRYPTED

We're naturally somewhat disappointed to receive this but of course, it was not unexpected in view of the great number of changes happening in Europe. Imagine our surprise, though, when we receive news of a bill passing parliament; and so soon. Though, I understand your need to economize in these troubling times. Nonetheless, we can conclude that Sparrow industries will be paying the levy every quarterly.

Thank you, it’s been an extraordinary experience for a number of reasons.

​

Chief Executive Officer ?
Tim