Question: Can I apply for the 30% ruling as a Dutch citizen who lived in Hong Kong for 11 years when I remain working for the same company (they want to have my experience in the headquarters)? Another point of concern is that I might need to live in Belgium first (work in NL) due…
No. In order to reclaim VAT you must first complete a VAT registration for your business. Once registered you can claim VAT on goods/services you sell and also reclaim VAT on goods/services you have purchased for your business from others.
Unlike the income tax and corporate income tax it is not possible to request a time extension for filing a VAT return. You are (in principle) always obliged to file the VAT return before the deadline. If you don’t file it before the deadline you will receive an (estimated) additional assessment which will include a…
Question: I am starting as a freelance writer here in the Netherlands and wanted to know how I can register for a VAT number? I have spoken with the Chamber of Commerce and they advise that as I only have one customer so far it is difficult to register as a company? Please can you…
You send invoices to your client Important is the date of the invoice. The moment you create the invoice you owe the VAT which you have mentioned on the invoice to the tax authorities. So if you have created an invoice on December 28, the VAT on this invoice will have to be declared in…
VAT returns must be filed regularly by VAT registered businesses. It is typically required for businesses to file VAT returns on a quarterly basis. The return will show how much VAT you charged during that period of time, which is referred to as Output Tax. The return will also show how much VAT has been…
If you are a Dutch national living abroad, you can apply for a DigiD. If you already had a DigiD before you moved abroad, you can continue to use your DigiD. To apply for a DigiD abroad, you must: have the Dutch nationality have a valid Dutch passport or valid Dutch identity card have a…
There is no legal obligation to request a DigiD. However, more and more government organisations start using DigiD for access to their online services. Without a DigiD you will not be able to use these electronic services. If you don’t wish to or can’t use the DigiD you can in principle always communicate in writing…
After you have activated your DigiD, it remains valid for a period of 3 years after the moment you have used the DigiD for the last time. Every time you use your DigiD again a new period of 3 years starts. So as long as you keep using the DigiD it will stay valid. If…
Imagine submitting an electronic application for a permit through your local authority’s website. A DigiD login screen will appear, asking for your username and password. If the data is correct, you will be able to proceed in the process. Similarly and using the very same login code, you can access electronic services from other government…
DigiD is available to people who are registered in a Dutch municipality (Dutch: gemeente) and have a burgerservicenummer (BSN or “Citizens Service Number in English). If you are not registered in the Netherlands you can still apply online but you would have to pick up your DigiD in person at one of the listed municipality…
DigiD stands for Digital Identity. With your DigiD you show who you are when you arrange something on the internet. With a DigiD users can access a great number of online services offered by Dutch government agencies These include for example: municipalities tax authorities social security organisations employment office ministries police provinces hospitals pension fund…
The consequences of not declaring or paying the VAT in time A business will have to declare the VAT to the tax authorities every month or quarter (or even year). It may happen that you can’t declare and pay in time due to certain circumstances. What will be the consequences? What happens if I didn’t…
New VAT identification number? Do not dispose of your old VAT number! All entrepreneurs with a sole proprietership will receive a new VAT identification number in the coming period. However, this does not mean that the old VAT number can be thrown away. The entrepreneur must continue to use this old number for communication with…
Income from home and work: Box 1 The categories which comprise the income from work and home are: profits from business or professional activities income from employment result from other activities income in the form of periodic payments income from home expenses for income provisions negative expenses for income provisions 1. Profits from business or…
Income from substantial interest: Box 2 Income from a substantial interest in a company, including capital gains or losses, is subject to income tax and is taxed at a rate of 25%. A taxpayer is regarded as having a substantial interest in a company if he or she, either solely or with his or her…
Question: My understanding is, that in Holland there is no capital gains tax for trading shares or other securities (options, futures). My question: are there any limitations for this regarding the number of traded securities ? With other words: is this also valid for private daytraders trading hundred shares per day? Answer: In general an individual…
Question: I am a Spanish girl who is going to start working in a company in Assen, basically I would like to be here for around 2 years although my contract right now is only for one year. I have seen on your website that I could ask for the 30% ruling and my net…
Question: I am about to purchase a property in the Netherlands and as an expat am expected to provide a deposit of 10% of the purchase value. I am doing so by way of a personal loan from my bank in my home country and am hoping that the interest on this loan will also…
Every taxpayer is entitled to the general tax credit, in Dutch: ‘algemene heffingskorting’. A tax credit is a deduction on the tax calculated on your entire income based on the box system. So first your income is calculated and reduced with the applicable tax deductions. This leads to your taxable income. Tax is calculated based…
If you have the 30% ruling you can deduct the mortgage interest for your principal residence under the standard regulations. So the 30% ruling itself will not affect the possibility to deduct the interest. It is also not relevant whether you have opted for partial non residency for tax purposes either. The 30% ruling may…
If you don’t agree with the tax assessment you can object in writing against it within 6 weeks after the date of the assessment. You will find this date on the tax assessment. If you let these 6 weeks pass you can no longer object. It is however still possible to request the tax authorities…
Are you fiscal partners? If so, then you may divide certain income and deductible items in your tax returns as you wish. You may make any division you wish, as long as the total adds up to 100%. The partner with the highest income can, for example, deducts the expenditure. This offers you the greatest…
Taxation in the Netherlands is based on a ‘box system‘ whereby each box contains certain income which is taxed against a certain tax rate, with tax brackets, credits, allowances, fixed rates etc. Below you will find the most relevant rates for the current and previous years. 2021 2020 2019 2018
Fiscal partnership relates to married couples, couples living together (partners) or housemates who may determine who declares which amount of certain types of income and deductible items in their tax returns. You may then divide the balance of for example, the deductible expenditure on your owner-occupied property between you and your partner. You may make…