Advantage 1: tax shelter.
When transferring money to a newly established company (existing since less than 4 years), there is a tax deduction of 45% of the transferred cash.
Not surprisingly, there are limitations and conditions:
1° the tax deduction is not allowed for the director of the company;
2° the total advantage is limited by the structure of the shareholding structure;
3° real estate and management companies are exempt;
4° payment in full of the shares is necessary.
Advantage 2: lower rate for witholding tax.
You can benefit from the lower witholding tax rate of 15% for dividend payout after 3 years.
Keep in mind that for this advantage the condition of payment in full of the shares also applies.
Contact us for more information.