Ireland or Netherlands: where should you start a business?
The Netherlands ranks higher in the index, 10 against 17. Which suits you depends on where the owners live, what the company is for and how it will be run.
Pillar by pillar
Doing business, side by side
Tax
Trading income is taxed at 12.5% and non-trading income at 25%, according to PwC. VAT is 23%, and Budget 2027 left the 12.5% rate unchanged.
Taxable profit up to €200,000 is taxed at 19% and profit above it at 25.8%, rates that have applied from 2023 to 2026. VAT is 21%.
Set-up
Online incorporation costs €50 and the annual return €20. No standard time applies, and on 8 October 2026 the queue ran about eight working days behind.
A BV is formed by a civil-law notary, with fees the government puts at €500 to €1,500, and registration costs €85.15. No standard time is published.
On the ground
At least one director must be resident in the EEA unless the company lodges a €25,000 bond or certifies a real and continuous link.
Official pages state no residence requirement for directors. A director living abroad is registered with a legalised passport copy and proof of address.
Ownership
Public access was suspended in November 2022, and access now depends on a legitimate interest or on being a designated person.
Public access ended on 16 July 2025, according to law firm reports. Access is now limited to authorities and obliged entities such as gatekeepers.
Residence
The Start-up Entrepreneur Programme requires €50,000 in funding and a high-potential start-up. The Immigrant Investor Programme closed in February 2023.
The start-up permit requires a facilitator and lasts at most one year, after which a points-based self-employed permit can follow. US nationals have a treaty route.
Living and working
Currency
Euro.
Euro.
Time zone
UTC+0, and UTC+1 in summer.
UTC+1, and UTC+2 in summer.
Personal tax
Income above €44,000 is taxed at 40% for a single person in 2026, plus a charge of up to 8%; gains are taxed at 31%, gifts at 33%.
Income above €78,426 is taxed at 49.50% (2026, below pension age); investments are taxed at 36% on a deemed return.
Language
Irish is the national and first official language, and English is the second official language under Article 8 of the Constitution.
The Netherlands Commercial Court works in English and issues its judgments in English.
Ireland vs Netherlands: common questions
Ireland: Trading income is taxed at 12.5% and non-trading income at 25%, according to PwC. VAT is 23%, and Budget 2027 left the 12.5% rate unchanged. The Netherlands: Taxable profit up to €200,000 is taxed at 19% and profit above it at 25.8%, rates that have applied from 2023 to 2026. VAT is 21%.
Ireland: Online incorporation costs €50 and the annual return €20. No standard time applies, and on 8 October 2026 the queue ran about eight working days behind. The Netherlands: A BV is formed by a civil-law notary, with fees the government puts at €500 to €1,500, and registration costs €85.15. No standard time is published.
Ireland: At least one director must be resident in the EEA unless the company lodges a €25,000 bond or certifies a real and continuous link. The Netherlands: Official pages state no residence requirement for directors. A director living abroad is registered with a legalised passport copy and proof of address.
Ireland: Public access was suspended in November 2022, and access now depends on a legitimate interest or on being a designated person. The Netherlands: Public access ended on 16 July 2025, according to law firm reports. Access is now limited to authorities and obliged entities such as gatekeepers.
Ireland: The Start-up Entrepreneur Programme requires €50,000 in funding and a high-potential start-up. The Immigrant Investor Programme closed in February 2023. The Netherlands: The start-up permit requires a facilitator and lasts at most one year, after which a points-based self-employed permit can follow. US nationals have a treaty route.
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