The 2026 European contractor tax primer: six regimes, one honest map

This isn't tax advice. It's a plain-English map so you can price a European contract sensibly and ask the right questions of a qualified accountant. Rules and thresholds change — always verify against current-year guidance for your specific situation.

UK. IR35 remains the defining question. Inside-IR35 contracts run through umbrella or PAYE and net roughly 55–65% of gross for a higher-rate earner. Outside-IR35 via a limited company can net 70–78%, but the client-side determination is now well-established and non-negotiable inside most enterprise settings. Assume inside unless the SDS says otherwise.

Netherlands. The DBA framework governs freelance-vs-employment classification. Most senior contractors run through a ZZP structure or via an established contracting umbrella. Net take-home for an €800/day contractor typically lands 60–68% after income tax and social contributions — higher if you qualify for the 30% ruling as an incoming knowledge worker.

Germany. Scheinselbstständigkeit — false self-employment — defines the market's shape. Most senior contractors work through a GmbH or as a Freiberufler with strict client-count and duration limits. Net take-home is meaningfully lower than the UK or NL headline figures might suggest. Do the maths on net, not gross.

Sweden and Denmark. The Nordic contracting market runs almost entirely through employer-of-record or the contractor's own AB / ApS. Net figures depend heavily on municipal tax — Stockholm and Copenhagen sit around 55–60% net at senior rates. The headline rate is not what lands in your account.

Belgium and Ireland. Belgium's freelance market runs through management companies or umbrella structures, with net take-home typically 55–62% for senior contractors. Ireland's contract market is dominated by umbrella-and-PAYE, with a well-developed limited-company alternative for longer engagements.

The practical takeaway. Gross rate is not comparable across markets. A £750/day UK contract, a €800/day Amsterdam contract and a €900/day Munich contract can produce broadly similar net figures depending on structure. Always price on net. Then negotiate the gross.