Why smart employers are using tax regimes to win global talent

Borders don’t define careers anymore. Today’s working professionals choose where to live and work based on what matters most to them: better financial opportunities, quality of life, and personal priorities.

One trend highlighting this shift: more professionals are relocating to destinations that offer government-backed tax incentives. These incentives aren’t the only reason people move, but they can make a compelling job offer even more attractive in a globally competitive market.

In this article, we’ll highlight some special tax regime across Europe, why it’s relevant to HR leaders, and how Remote’s in-house tax regime support can help you improve your total rewards package.

Did you know these European tax regimes helping attract top talent?

Governments across Europe have special tax regimes designed to attract high-skilled professionals and boost economic activity. For employers hiring globally, these incentives can be a hidden advantage in your total rewards strategy.

Here are some examples:

• 🇪🇸 Spain’s “Beckham Law”

  Eligible employees can pay a flat tax rate of 24% on income up to €600,000 for up to six years. Great for inbound professionals relocating to Spain.

• 🇳🇱 The Netherlands’ 30% Ruling

  Employers can pay up to 30% of an employee’s salary tax-free for five years. It’s designed to offset relocation costs while increasing net income.

• 🇮🇹 Italy’s Inbound Workers Regime

  Returning professionals and expats can benefit from up to a 50% income tax exemption for several years, depending on residency and job type.

• 🇧🇪 Belgium’s Expatriate Tax Regime

  Offers a range of tax-efficient options including per diems, allowances, and benefits in kind, helping both employee and employer optimize compensation.

• 🇩🇰 Denmark’s Special Expat Scheme

  Qualified foreign hires can be taxed at a reduced flat rate (27% + labor market contribution) for up to seven years.

These regimes are part of a growing toolkit countries are using to attract talent, and for employers, they can enhance your hiring power without changing your salary budget.

Why HR leaders should care

As more professionals explore relocation, HR and talent leaders should recognize that these programs are becoming increasingly relevant to global hiring and compensation planning.

1. Boost attraction and retention

Offering employment under a favorable tax regime can make your job offers stand out. A higher net salary, without raising your costs, is a meaningful differentiator when competing for top global talent.

2. Manage compliance and risk seamlessly

The downside? These programs are complex to navigate. Misapplying them can lead to employee tax liabilities or even penalties. That’s where Remote’s built-in support changes the game.

3. Strengthen total rewards without raising spend

By hiring in countries with favorable local tax conditions, companies may naturally offer more competitive take-home pay without increasing payroll costs. This approach focuses on understanding regional employment structures to optimize total rewards in a compliant and equitable way.

Remote’s in-house tax regime support: a market first

For companies hiring across EMEA, Remote offers additional value via our Employer of Record.

Remote can now help you fully manage access to local special tax regimes in-house, at no additional cost to you

This capability integrates seamlessly into the EOR experience, enhancing total rewards, improving employee satisfaction, and giving global businesses a powerful competitive edge in attracting and retaining talent.

Here’s what makes Remote’s launch unique:

• Only EOR offering in-house enrollment

  Remote is the only employer of record that fully supports eligible employee enrollment in local special tax regimes — no third-party consultants, no manual setup.

• Higher take-home pay for employees, zero added cost for employers

  Employees benefit from lower taxes; employers pay the same headline cost. It’s a genuine win-win.

• Simplified compliance, automated in payroll

  Remote’s tax team handles enrollment, verification, and ongoing compliance within our EOR platform.

• Competitive hiring edge

  When candidates compare offers, “we support special tax regimes” is a powerful differentiator that strengthens your employer brand.

Real impact: Early data from Remote shows European employees enrolled in special tax regimes earned an average of €14,000 more per year, at no extra cost to their employers.

How to make tax regimes part of your global hiring strategy

1. Map your hiring footprint: Identify roles in EMEA countries that offer these incentives.
2. Partner with Remote: With Remote, your eligible employees can access these tax benefits directly through the EOR experience — no separate consultants or extra fees.
3. Communicate clearly with candidates: For high-value hires, show the real benefit: “Under this tax regime, your take-home pay will be X.”
4. Stay updated: Remote’s tax team monitors legislative changes so your company stays compliant and employees keep their benefits.

Ready to attract top talent?

Special tax regimes can help employees take home more pay while you control costs.

And, Remote makes it simple.

Ours is the only EOR to offer in-house enrollment in local special tax regimes, helping employees earn more while employers pay the same.

Learn more about how Remote’s tax regime support works and give your team a competitive edge in global hiring.