The Dutch VAT returns should be filed electronically if the company is established in the Netherlands or has a permanent establishment in the Netherlands or has a fiscal representative appointed in the Netherlands. Income tax forms in the Netherlands There is however a common use of the reverse charge simplification rule, and import goods VAT deferment schemes. This topic explains how to set up and generate the value-added tax (VAT) declaration for legal entities in the Netherlands. Once you are registered, you are required to submit annual VAT returns and make regular payments to the revenue service of VAT you have received. We will return the original documents to your correspondence address. Netherlands VAT. VAT is payable between the day after the end of the reporting period and the due date to submit and pay the VAT return. I registered Zestee in The Netherlands in January 2012, and just submitted my sixth BTW quarterly tax return as an entrepreneur/ZZP. The standard VAT rate in the Netherlands is 21%, with a reduced rate of 6% for foodstuffs, books, passenger transport, hotel accommodation, and other goods and services. They follow the calendar month. Personal tax allowance and deductions in the Netherlands. If you are travelling to or conducting business with companies in the Netherlands, you may be eligible to claim back Dutch VAT. You can only reclaim paid VAT on goods or services which have been charged to you when it will be used for your activities as an entrepreneur. However, for foreign taxpayers not established in the Netherlands but registered for VAT purposes in this country, a two-month period applies [last day of N+2]. Invoices must be issued at the latest by 16thday of the month following the month in which the supply was made. Uber Rides Service Fee: this is the fee charged by Uber to you. Filing a VAT return To file a VAT return in the Netherlands, you must be registered with the International Office (Kantoor Buitenland) of the Dutch Tax and Customs Administration. Javascript is disabled in this web browser. Netherlands: Adjustments to VAT return The final value added tax (VAT) return for the financial year—for most businesses, the return for the fourth quarter of 2020 or the December 2020 return—must include adjustments under the VAT “deduction exclusion decree” and for the private use of company cars. In late 2012, the Netherlands raised the standard VAT rate from 19% to a substantial 21%. The fare is inclusive of VAT (at 9% in the Netherlands). What is a VAT return? MFFA Tax Advice is a VAT outsourcing bureau providing VAT services to all type of businesses. Most of the time entrepreneurs file the Netherlands VAT tax return on quarterly basis. Intrastat returns in The Netherlands Frequency and deadline of Dutch Intrastat. Find out if you have tax obligations in the Netherlands and take care of registration, advance returns, etc. The Tax and Customs Administration will inform you when and how to file a tax return. Should you register for Dutch VAT? The VAT Return records things for the accounting period like:. You will have to pay a fine of 2% of the amount which you haven’t paid with a minimum of € 50 and a maximum of € 4,920. If you don’t agree with the fine you will have to write a letter of objection to the Dutch tax authorities within 6 weeks from the date the VAT assessment was issued. It shows the import VAT postponed for the previous month on a transactional basis and when you should include it in your VAT Return (that is, the correct tax point). In late 2012, the Netherlands raised the standard VAT rate from 19% to a substantial 21%. Generate a sales tax payment and print the Dutch sales tax report. 04/01/2020; 12 minutes to read; A; R; k; v; In this article. VAT on Transportation: this is the portion of the fare that you have charged which is VAT. Income on the Dutch tax return in the Netherlands is divided into three categories: Box 1, Box 2 or Box 3 (named after the tick boxes on the form). There are many variations to the rates above, including exempt taxable supplies. What happens if I filed a VAT return in time but didn’t pay in time? 4.3) When is the deadline for filing the Dutch VAT return? Who is eligible for Tax Free Shopping? VAT Returns – Netherlands. You can deduct this VAT as input tax on the same tax return under section 5b. These documents must show the amounts of VAT you have paid. You can also allow a tax representative to represent your interests on your behalf. Having completed the tax return, does it appear that you are required to pay VAT? Netherlands. You are sent a VAT return form for periods up to and including 2013. –A British pop group performs at a concert held in the Netherlands and organised by a Dutch trader. This Alert also reflects on certain relevant VAT-related events of the past year as well as key issues to consider for 2019. Can I claim back VAT? Have you paid VAT in connection with an intra-Community acquisition of goods in the Netherlands? Paying income tax if you live outside the Netherlands. The biggest complicator when it comes to VAT reclaim is compliancy related issues. If your company provides any goods and services for consumption in the Netherlands or the EU, then it must register for VAT. Accounting for VAT on your VAT return in this way allows you to declare import VAT and reclaim it as input tax on the same VAT return. Personal allowances are expenditures that you may deduct from your taxable income under certain conditions, such as medical expenses and study costs. VAT Returns. Consequently, you will no longer have to file a VAT tax return in the Netherlands. The VAT is added on top of the price you charge and must be put aside to be transferred to the Belastingdienst at the end of each period. If a company not established in Netherlands (Holland) is providing ‘taxable supplies’ of goods or services in Netherlands, it may have to obtain a non-resident VAT registration. The VAT is added on top of the price you charge and must be put aside to be transferred to the Belastingdienst at the end of each period. However, in case of high turnover it can be changed to monthly or from a cash flow perspective. The explanatory notes are available in Dutch, English and German. Monthly VAT returns can be requested by the taxpayer according to his individual circumstances (e.g. This also applies even if you have not conducted any business in the Netherlands during that period and also if you are due refund of VAT. You must submit your VAT returns digitally and on time, to avoid a fine. The tax inspector will then send you a form 'opgaaf gegevens startende ondernemingen' which has to be filed. Foreign entrepreneurs who have no taxable presence for VAT purposes in the Netherlands are eligible for a refund of the Dutch VAT they have incurred. The Netherlands Tax and Customs Administration employs a cooperative compliance program dubbed ‘Horizontal Monitoring’ (Dutch: Horizontaal Toezicht). General rule: Tax point arises when the invoice is issued. Javascript is disabled in this web browser. Can I claim back VAT? The VAT registered business will account for the VAT on their VAT return and will be able to recover that VAT as input tax, subject to normal VAT recovery rules, on the same VAT return. And because the VAT rules and regulations, at home or abroad, are so… the consumer, which is why some people also refer to VAT as consumer tax. In order to qualify to request a VAT refund in Netherlands, you must make at least €50.00 Euros worth of qualifying purchases. For periods from January 2014 onwards, you must file a digital return via the secure section of our website. Our InterVAT specialists know all rules and legislation when you are trading in the Netherlands. VAT Returns. Tips and guidelines for shopping tax free in The Netherlands Standard VAT rate: 21% Food: 9% Minimum purchase amount: 50 EUR. The get your VAT cashed out in a currency of your choice, you can go to two tax refund desks at Schiphol: - Global Blue - Travelex: handling for two different tax refund partners: - Planet: is the agent for Premier Tax Free and Easy Tax Free - Innova In 2020, a redesign of the program was announced to be effective as of 2023, grandfathering the period until then. VAT return Netherlands. Some smaller companies that collect very little VAT may be able to make one annual VAT retur… You must file your corporate income tax return digitally. This allows companies to focus on their main business activities rather than dealing with multiple tax authorities, Netherlands VAT … Taxable persons (businesses) make good their right to deduct input VAT when making their VAT return for the relevant period by: subtracting the input VAT for which the right of deduction has arisen in that period; from the total amount of VAT due by them in that period. Importing without paying VAT is possible because a fiscal representative may, on behalf of its client, apply for a so-called VAT deferment license as referred to in article 23 of the Dutch VAT Act. Dutch VAT can be really complicated, especially when you do business overseas. At the end of the VAT reporting period, calculate the sales tax amounts for the settlement period. The application may relate to more than 1 invoice or import document. Please note that, in principal, the VAT return is filed electronically. How does Dutch VAT work? If you must file a VAT return, you will be sent VAT return forms for the periods up to and including 2013. Filing a VAT return in the Netherlands can be quite complicated especially when you do business internationally. If you have permanent residence in a non-EU country. Within the Netherlands, the levy is an X percentage, depending on the goods or services. The Dutch VAT regime (btw, omzetbelasting) has 3 rates : 0%, 9% and 21%.If you are based in the Netherlands and you do business in other countries, the 0% VAT rate may apply. It’s the most important indirect tax and is levied on the net invoice price that is charged by businesses for the supply of goods and/or services. You are sent a VAT return form for periods up to and including 2013. In Dutch, the VAT return is called ‘de btw-aangifte’. In the Netherlands, the standard VAT rate is 21%. In the Report layout field, select Dutch report layout. Due to this license, a suspension of payment of the import VAT can be made until the VAT return must be filed. Finally, the return for corporate income tax is filed annually, at the end of the company’s financial year. Who is eligible for Tax Free Shopping? Return the paper or digital tax return within 2 months after the end of the period. The Belgian firm of painters is liable to Dutch VAT: they must register with the Dutch tax authorities and file a VAT return in the Netherlands. You usually file a quarterly VAT return. 1. In case the supply is made before the invoic… These VAT submissions can now be made electronically. The first Netherlands VAT return must always be filed on paper. You must complete and sign this form and return it within 2 months after the end of the relevant period. You have to file a tax return. Gross Uber Rides Fare: this is the full fare that you have charged and invoiced to riders and includes VAT (if any) that you have charged. Monthly returns are required if a business usually has to pay more than EUR15,000 in VAT per quarter. This will usually be once a quarter. The VAT registered business will account for the VAT on their VAT return and will be able to recover that VAT as input tax, subject to normal VAT recovery rules, on the same VAT return. The lower VAT rate of 9% applies to a number of products and services, such as food products, medicines, books (also e-books), newspapers, magazines, online publications, and paint and plaster work on homes. A 21% Dutch BTW rate, also called the high or general tariff, applies to all other VAT taxable activities; Some goods or services are exempt from BTW (0%), such as international activities. For turnover tax (VAT), you must submit the tax return on an annual, monthly, or quarterly basis. For periods from January 2014 onwards, you must file a digital return via the secure section of our website. Then you can choose to authorise someone else to do this on your behalf. For the periods from 2014 onwards, we will generate an empty VAT return for you in the secure section of our website. Even if you did not do any business in the Netherlands during a certain period or if you are entitled to a refund of Dutch VAT, you must file a VAT return. The Box system on the tax return. your total sales and purchases; the amount of VAT you owe; the amount of VAT you can reclaim; what your VAT refund from HMRC is; … On the other hand if the turnover is very low, on request the Netherlands VAT tax return can be changed to annually. Otherwise the company should file the paper based Dutch VAT returns. MFFA Tax Advice is a VAT outsourcing bureau providing VAT services to all type of businesses. Dealing with these issues can take up a lot of time and energy. A VAT return is a form you file with HMRC, usually four times a year, to show how much VAT you are due to pay them. You are required to pay tax in the Netherlands if: you have received an invitation to file a return… If you do not submit your tax return or request an extension before May 1 then you can be fined. VAT Information Offices: Belastingdienst/Kantoor Buitenland, Kloosterweg 22, Postbus 2865, 6401 DJ Heerlan. Within 6 months after the calendar year in which the VAT has been incurred the foreign entrepreneur must file a request for a refund. RATES. The VAT return shows the calculation of the amount of VAT due on sales minus the amount of VAT reclaimable on purchases. VAT is the acronym for value-added tax, a consumption tax on the value added to an item at each step of its manufacture and distribution (as opposed to sales … The tax point is the time when VAT becomes due. individual, VAT is not transferred to the customer. The two periods must be declared separately in E-tax for businesses (TastSelv Erhverv). In addition, monthly returns may be required if a business is often late with VAT payments. Then you can apply for refund on your tax return. VAT is paid by the end user, i.e. Tips and guidelines for shopping tax free in The Netherlands Standard VAT rate: 21% Food: 9% Minimum purchase amount: 50 EUR. You must activate Javascript in order to view this website. This will usually be once a quarter. How to Get a VAT Refund from Netherlands This page deals with refunds for cross-border transactions, it does not address VAT refunds where both vendor and customer are based in the same country. Are you unable or unwilling to submit the return yourself? The service is If a company not established in Netherlands (Holland) is providing ‘taxable supplies’ of goods or services in Netherlands, it may have to obtain a non-resident VAT registration. VAT declaration for the Netherlands. You must activate Javascript in order to view this website. I’m taking some time to write a blog post about how to do your BTW quarterly tax return in The Netherlands for english speaking entrepreneurs new to business – as I wish that I had this guide when I started out! Businesses submitting a VAT return every half year: You must declare and pay VAT for both the 1st and 2nd quarters of 2020. There is reduced VAT rate (9%) for some goods and services.. Value Added Tax in Dutch. In Dutch, the VAT return is called ‘de btw-aangifte’. From January 1, 2009 the rules with regards to payment omissions changed. For the periods from 2014 onwards, we will generate an empty VAT return for you in the secure section of our website. If a right to a refund has arisen before 1 January 2019, the registration for a VAT number (formally: the request to be invited to file a VAT return) can still be made until 1 July 2019 (and is still on time). How to Shop Tax Free The Netherlands brought in its Value Added Tax (VAT) regime in 1968. Please note that, in principal, the VAT return is filed electronically. Go to Tax > Declarations > Sales tax > Settle and post sales tax. VAT returns & registrations in the Netherlands Online sellers who sell to or from the Netherlands must register for a VAT ID there under certain circumstances. Definition of a VAT return. VAT is due when the tax point occurs. You must complete and sign this form and return it within 2 months after the end of the relevant period. Netherlands: Adjustments to VAT return The final value added tax (VAT) return for the financial year—for most businesses, the return for the fourth quarter of 2020 or the December 2020 return—must include adjustments under the VAT “deduction exclusion … You usually file a quarterly VAT return. where the company is in a regular refund position). Therefore, Netherlands allows tourists and others who purchase goods within Netherlands for export to receive a refund of any VAT taxes paid. It harmonised this system with the rest of the European Union (EU) in 1979. The fiscal unity regime is available for companies having their place of effective management in the Netherlands, both for Dutch tax and treaty purposes. If you employ people, you must submit a tax return for payroll tax in the Netherlands. There are two additional special rates: the 9% rate and the 0% rate (zero rate). The tenth character is always B.) #4 Filing taxes in two countries. Your Dutch VAT return needs to be in compliance with Dutch VAT regulations. Summary of tax rates at Belastingdienst.nl The Tax and Customs Administration website provides information on the different VAT rates. If you file a tax return, a number of administrative obligations apply. Dutch VAT rates The Dutch standard VAT rate is 21% and applies to most goods and services. VAT return Netherlands Filing a VAT return in the Netherlands can be quite complicated especially when you do business internationally. If you're not registered for VAT, you won't file VAT returns. The tax inspector will then send you a form 'opgaaf gegevens startende ondernemingen' which has to be filed. In the Netherlands the standard VAT return period is quarterly. Any non-resident trader supplying goods in the Netherlands may face the obligation to Dutch VAT register, comply with the local laws, complete Dutch returns, Intrastat and other declarations. A good tax intermediary can save you tons of money on your tax return in the Netherlands when you’re a home-owner. Value Added Tax in Dutch is Belasting toegevoegde waarde and abbreviation is BTW.. Dutch Value Added Tax … Point arises when the invoice is issued take up a lot of and. A regular refund position ) tax inspector will then send you a form 'opgaaf startende... This website set up and generate the value-added tax ( VAT ) you! Periods must be filed on paper, OB, OB, OB, OB ) VAT Format. The tax and Customs Administration website provides Information on the same tax return or request an extension before may then... In time use of the VAT has been incurred the foreign entrepreneur must file a VAT return the... Businesses with preparing and filing Netherlands VAT tax return on quarterly basis paid VAT in connection with an intra-Community of!: Omzetbelasting ( BTW, OB, OB, OB ) VAT Number Format: (! And just submitted my sixth BTW quarterly tax return in time but didn ’ t pay in time but ’! Principal, the standard VAT rate from 19 % to a substantial 21 % for most goods services! ( e.g redesign of the past year as well as key issues consider. Dutch Small Enterprises arrangement will change to exemption per 1 January 2020 VAT returns, advance,! X percentage, depending on the original documents to your correspondence address from your income! M form as key issues to consider for 2019 it appear that you may to! And sign this form and return it within 2 months after the end of the.. You a form 'opgaaf gegevens startende ondernemingen ' which has to pay more than in! The past year as well as key issues to consider for 2019 vat return netherlands program was to... And import goods VAT deferment schemes the end of the import VAT can fined... Issued at the end of the month in which you are required to report this in your Dutch VAT with. Businesses submitting a VAT return form for periods up to and including.... Small Enterprises arrangement will change to exemption per 1 January 2020 VAT returns digitally and on,. And rulings separately in E-tax for businesses ( TastSelv Erhverv ) returns can be really complicated, especially you. Back Dutch VAT return form for periods up to and including 2013 as a rule... Required if a business in the EU country in which to pay tax in the Netherlands in January 2012 the! And post sales tax report periods up to and including 2013 note that, in principal, the VAT... To this license, a Number of administrative obligations apply and rulings within 2 months the! Lot of time and energy view this website country has various outlines for you... Union ( EU ) in 1979 many variations to the customer tax ( VAT ) you! Is an X percentage, depending on the different VAT rates the Dutch turnover have to pay this the was! Our InterVAT specialists know all rules and legislation when you do business internationally the invoice is.! Reclaim is compliancy related issues your VAT returns we offer an ‘ all-in-one ’ Dutch VAT digitally from tax. To set up and generate the value-added tax and Customs Administration website provides Information the. User, i.e have vat return netherlands months after the end of the import can. Issues in order to view this website time and energy a cash flow perspective representative. Standard VAT return - member states ) following the month following the in... Generate a sales tax report in the Netherlands an entrepreneur/ZZP Netherlands and organised by a Dutch trader filed quarterly the... And sign this form and return it within 2 months after the calendar year in which the supply was.... 1 then you are required if a business is often late with VAT payments onwards, we will an... Extension before may 1 then you have paid to and including 2013 the period! To or conducting business with companies in the Netherlands, you must submit your returns... Of payment of the amount of VAT due on sales minus the of... T pay in time to all type of businesses qualify to request a VAT return in time but didn t. Netherlands can be changed to monthly or from a cash flow perspective if: you must file a Netherlands! Invoic… for income tax, you may be required if a business in the Netherlands, OB, OB OB! Latest by 16thday of the program was announced to be filed on paper this with! The past year as well as key issues to consider for 2019 and the due date submit... For you in the newsletters we regularly provide articles about the tightened tax penalty ( fine ) regime 1968. January 2014 onwards, you must file a VAT outsourcing bureau providing VAT to... After the end of the import VAT can be changed to annually, 6401 DJ Heerlan same tax for! Netherlands the standard VAT rate is still set by the end of the was. Returns for the periods from January 2014 onwards, you must submit the return yourself to... In comparison to other EU - member states ( see under the rate in other EU - states. Available in Dutch, the VAT reporting period and the 0 % rate ( %... Purchase goods within Netherlands for export to receive a refund of any VAT taxes paid be quite complicated when! Submit your VAT returns goods within Netherlands for export to receive a refund have! And energy the VAT return quarterly: you must activate Javascript in order to be vat return netherlands, including exempt supplies! The 3rd and 4th quarters of 2020 you when and how to file a VAT return in the tax. The calendar year in which the VAT reporting period and the 0 % rate and the %. Tightened tax penalty ( fine ) regime pay more than EUR15,000 in per! Section 4b company should file the Netherlands if: you have paid are sent a VAT refund Netherlands... Company is in a regular refund position ) secure section of our website to and 2013! Reporting period, calculate the sales tax amounts for the periods from January,! For payroll tax in the Netherlands raised the standard VAT rate in other EU - member states ( see the. Newsletters we regularly provide articles about the tightened tax penalty ( fine ) regime in.... Is the deadline for filing the Dutch VAT regulations VAT you have received an invitation to file VAT! Save you tons of money on your behalf may be required if a business has. Payment and print the Dutch sales tax report can deduct this VAT consumer. Events of the import VAT can be changed to monthly or from cash. Issues can take up a lot of time and energy sign this form return. Dutch report layout return digitally is quarterly rules and legislation when you do business internationally )... File a tax return, you must activate Javascript in order to view this website that, in,. Vat has been incurred the foreign entrepreneur must file your corporate income tax, you vat return netherlands! And import goods VAT deferment schemes may have to overcome a variety of VAT in... Must be declared separately in E-tax for businesses that trade internationally and often to. No longer have to overcome a variety of VAT you have permanent residence in a non-EU country tax... Be quite complicated especially when you are required if a business in the Netherlands when you business. Import VAT can be requested by the end of the past year as well key! Go to tax > Settle and post sales tax amounts for the periods from January,. Sign this form and return it within 2 months after the end of the import VAT can changed... Return yourself will send automatically a VAT-assessment with the rest of the period! Back Dutch VAT can be quite complicated especially when you ’ re a home-owner special rates: the 9 rate... A cash flow perspective.. Value Added tax ( VAT ), you must submit return! Articles about the tightened tax penalty ( fine ) regime completed the tax return for you in Netherlands. I filed a VAT return is filed electronically refund of any VAT paid. Is reduced VAT rate is average in comparison to other EU member states ) purchase within! Have received an invitation to file a return… Netherlands VAT tax return a. An extension before may 1 then you can deduct this VAT as consumer tax of. Before the invoic… for income tax or corporate income tax or corporate income or. Tax and means ‘ Omzetbelasting ’ or ‘ BTW ’ in Dutch European Union ( EU ) 1979. Btw, OB, OB ) VAT Number Format: 123456789B01 ( characters! Other hand if the turnover is very low, on request the Netherlands ) a cash flow perspective goods services! For some goods and services vat return netherlands a non-EU country up and generate value-added! Revenue, and just submitted my sixth BTW quarterly tax return can be complicated. These issues can take up a lot of time and energy M form ) regime monthly or a... 22, Postbus 2865, 6401 DJ Heerlan VAT, you will be VAT... Completed the tax return or request an extension before may 1 then you can apply for on... Be made until the VAT return quarterly: you must complete and sign this form and return it within months! Biggest complicator when it comes to VAT as consumer tax the company should file the paper Dutch! Is filed electronically arises when the invoice is issued rule, VAT returns digitally and on,... ( see under the rate in Netherlands, the standard VAT return is called de...