VAT rates and exemptions
The Dutch turnover tax regime (i.e. VAT, known in Dutch as omzetbelasting or BTW) includes three rates: 0%, 6% and 21%. If you do business in other countries from your base in the Netherlands, the 0% VAT rate may apply. The reduced VAT rate of 6%, applies to a number of products and services. For example, food products, medicines, and paint and plaster work on homes. For other products and services you have to pay the general VAT rate of 21%.
If you run a business in the Netherlands and you or your employee/employees use a car on business trips, you may sometimes provide an allowance for the costs or offset the costs against tax. What rules apply depends on your situation. The Dutch Tax and Customs Administration (Belastingdienst) distinguishes between the following situations:
Filing annual accounts
If you run a company in the Netherlands, you may have to file your annual financial accounts every year with the Dutch Chamber of Commerce (KvK).
Payment term, collection charges and statutory interest
If you enter into a contract with a company, government or consumer in the Netherlands, usually a specific payment period is involved. This period may not be unreasonable. It is usually detailed in the general conditions of the contract.
In the Netherlands, your invoices (the bills you sent) must satisfy a number of statutory requirements.
General terms and conditions
The general terms and conditions state the rules that apply to both you and your customer and are part of the purchase agreement. Examples are provisions governing payment, delivery times, guarantees and disputes. In the Netherlands, several sector organisations, often together with consumer organisations, have mutually drawn up their own general terms and conditions. Please contact your sector organisation to find out if they have one for you to use.
If you or your employee drives a car, truck, bus, moped or other motor vehicle, then you or your employee will need a driving licence. It depends on the vehicle which type of driving licence is required. The various types of driving licences are divided into categories.
Do you, as a non-resident service provider, want to register your business or provide services in the Netherlands? Or do you, as a Dutch service provider, want to register your business or provide your services in other EU-countries? The Dutch Services Act (Dienstenwet), based on the EU Services Directive (2009), aims at making this easier for you. You can arrange your business affairs through one, digital service counter.