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5% Corporate Tax Rate
EU Member State
Full Legal Compliance
50+ Structures Established

The Problem With Your Current Structure

If you're running a profitable business through a Dutch BV, you're likely paying 19-25.8% corporate tax — plus up to 26.9% dividend tax when you take profits out.

For international entrepreneurs, digital businesses, and holding structures, there's a significant amount of your hard-earned revenue going to taxes that could legally be reduced.

High corporate tax rates eating into profits

19-25.8% corporate tax plus up to 26.9% dividend tax

Complex Dutch tax rules with limited optimization options

Rigid structures with few legitimate tax benefits

International income taxed at Dutch rates

No benefit for location-independent businesses

Feeling locked into an inefficient structure

Watching competitors optimize while you overpay

What if there was a legal, EU-compliant way to significantly reduce your tax burden?

The Madeira Advantage

A legitimate tax optimization strategy within the European Union

5% Corporate Tax

Reduced rate for qualifying companies until 2027 (with expected extension)

EU Member State

Full EU legitimacy — not an offshore haven, real European structure

No CFC Issues

Properly structured to avoid Controlled Foreign Company complications

Treaty Access

Portugal's extensive double-tax treaty network protects your income

Euro Zone

No currency risk, seamless European banking integration

0% Dividend WHT

No withholding tax on dividends to non-residents (conditions apply)

Is This Legal?

Absolutely. The Madeira International Business Centre (MIBC) is a fully approved EU state aid regime. It's not a loophole — it's a deliberate economic development incentive recognized by the European Commission. The key is proper substance and compliance, which we ensure for every client.

Netherlands vs. Madeira: Side by Side

See the real difference in your bottom line

AspectDutch BVMadeira Company
Corporate Tax Rate19% (≤€200k) / 25.8% (>€200k)5%
Dividend Withholding Tax15%0% (to non-residents)*
EU Member State
Substance RequiredMinimalYes (manageable)
Setup Cost€2,000€5,000
Setup Time1 week4-6 weeks
Best ForLocal Dutch operationsInternational income, IP, holding

*Dividend withholding tax depends on recipient country and applicable tax treaties. Individual situations may vary.

See Your Potential Savings

Is Madeira Right for You?

This structure works best for specific business profiles

Good Fit

Annual profit of €100,000 or more
Location-independent income (SaaS, consulting, e-commerce, trading)
Holding company for investments or subsidiaries
IP licensing or royalty structures
Willing to establish genuine business substance
Planning for long-term tax efficiency (3+ years)
Open to occasional travel to Portugal

Not a Fit

Revenue primarily from Dutch clients (creates PE risk)
Unable or unwilling to meet substance requirements
Looking for a 'paper-only' solution without real presence
Short-term thinking (less than 2-3 years horizon)
Annual profit under €80,000 (cost may not justify savings)

How We Set Up Your Madeira Company

A clear, structured process from first call to operational company

Week 1

Discovery Call

Free 30-minute strategy session. We analyze your business, discuss your goals, and determine if Madeira is the right fit. No obligations.

Week 1-2

Structure Design

We design your optimal structure — company type, substance setup, banking approach, and compliance framework. You receive a detailed proposal.

Week 2-3

Document Preparation

We collect required documents, prepare applications, and handle all paperwork. You sign where needed — we do the rest.

Week 3-4

Company Registration

Company incorporation in Madeira, registration with the MIBC (Madeira International Business Centre), and tax number acquisition.

Week 4-5

Bank Account Setup

Opening of corporate bank account with a Portuguese or international EU bank. We guide you through compliance requirements.

Week 6

Handover & Operations

Complete handover with all documents, access credentials, and compliance calendar. Optional: ongoing administration services.

Investment

Transparent pricing for a premium service

Madeira Company Formation

€5,000

One-time setup fee. No hidden costs. Government fees included.

One-time setup fee includes:

Full company incorporation in Madeira
MIBC (Free Trade Zone) registration
Portuguese tax numbers (NIF) for company and directors
Corporate bank account opening assistance
Registered office address (first year)
Structure optimization advice
Compliance briefing and calendar
All government fees and notary costs

Optional Add-on Services

Annual Accounting & ComplianceFrom €2,400/year
Portuguese Tax FilingsFrom €1,200/year
Registered Office Renewal€600/year
Nominee Director ServiceOn request
Substance Support (staffing, office)On request
Dutch Tax CoordinationFrom €150/month

Payment Terms

50% deposit to begin, 50% upon company registration. Payment by bank transfer.

The Math Speaks for Itself

With €150,000 annual profit, you could save approximately €20,000+ per year in taxes compared to a Dutch BV. The setup cost pays for itself in the first quarter.

Full transparency: If during our discovery call we determine Madeira isn't right for your situation, we'll tell you — and recommend better alternatives. No pressure, no wasted time.

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Frequently Asked Questions

Clear answers to common concerns

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Legal Disclaimer

The information provided on this page is for general informational purposes only and does not constitute legal, tax, or financial advice. Madeira's tax regime is subject to specific requirements, including substance and compliance obligations. Actual tax benefits depend on individual circumstances, business structure, applicable tax treaties, and ongoing compliance with Portuguese and EU regulations.

Dutch Tax Point provides formation and compliance services but does not guarantee specific tax outcomes. We strongly recommend consulting with qualified tax and legal professionals before making any business structure decisions. Tax laws and regulations are subject to change.

    Madeira Business Setup - 5% Corporate Tax in the EU | Dutch Tax Point | Dutch Tax Point