DTS assists businesses with preparing and filing Netherlands VAT return. Generate a sales tax payment and print the Dutch sales tax report. The tax inspector will then send you a form 'opgaaf gegevens startende ondernemingen' which has to be filed. VAT declaration for the Netherlands. In Dutch, the VAT return is called ‘de btw-aangifte’. The two periods must be declared separately in E-tax for businesses (TastSelv Erhverv). Businesses submitting a VAT return every half year: You must declare and pay VAT for both the 1st and 2nd quarters of 2020. It harmonised this system with the rest of the European Union (EU) in 1979. You must complete and sign this form and return it within 2 months after the end of the relevant period. This topic explains how to set up and generate the value-added tax (VAT) declaration for legal entities in the Netherlands. This will usually be once a quarter. Please note that, in principal, the VAT return is filed electronically. where the company is in a regular refund position). Netherlands VAT is based on the rules set by the EU; this includes the details for Dutch VAT registrations and VAT returns, and other VAT compliance issues. VAT Information Offices: Belastingdienst/Kantoor Buitenland, Kloosterweg 22, Postbus 2865, 6401 DJ Heerlan. VAT relating to purchase and sale of goods, Latest date for receipt of VAT return and payment. As a general rule, VAT returns are filed quarterly in The Netherlands. Go to Tax > Declarations > Sales tax > Settle and post sales tax. 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 quarterly: You must declare and pay VAT for both the 3rd and 4th quarters of 2020. 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. At the end of the VAT reporting period, calculate the sales tax amounts for the settlement period. Then you can apply for refund on your tax return. You are sent a VAT return form for periods up to and including 2013. VAT return Netherlands Filing a VAT return in the Netherlands can be quite complicated especially when you do business internationally. Should you register for Dutch VAT? Paying income tax if you live outside the Netherlands. 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). The fare is inclusive of VAT (at 9% in the Netherlands). Tips and guidelines for shopping tax free in The Netherlands Standard VAT rate: 21% Food: 9% Minimum purchase amount: 50 EUR. 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. If you do not submit your tax return or request an extension before May 1 then you can be fined. You can also allow a tax representative to represent your interests on your behalf. You usually file a quarterly VAT return. Netherlands VAT tax return. However, in case of high turnover it can be changed to monthly or from a cash flow perspective. What happens if I filed a VAT return in time but didn’t pay in time? Income tax forms in the Netherlands You have to file a tax return. Therefore, Netherlands allows tourists and others who purchase goods within Netherlands for export to receive a refund of any VAT taxes paid. The Netherlands Tax and Customs Administration employs a cooperative compliance program dubbed ‘Horizontal Monitoring’ (Dutch: Horizontaal Toezicht). Otherwise the company should file the paper based Dutch VAT returns. Dutch VAT rates The Dutch standard VAT rate is 21% and applies to most goods and services. Have you paid VAT in connection with an intra-Community acquisition of goods in the Netherlands? 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. Who is eligible for Tax Free Shopping? 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. In addition, monthly returns may be required if a business is often late with VAT payments. 04/01/2020; 12 minutes to read; A; R; k; v; In this article. VAT Name: Omzetbelasting (BTW, btw, OB, ob) VAT Number Format : 123456789B01 (12 characters. Businesses that trade internationally and often have to overcome a variety of VAT issues in order to be compliant. The tenth character is always B.) the consumer, which is why some people also refer to VAT as consumer tax. The VAT return shows the calculation of the amount of VAT due on sales minus the amount of VAT reclaimable on purchases. This will usually be once a quarter. 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. Return the paper or digital tax return within 2 months after the end of the period. 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. What is a VAT return? Dutch VAT can be really complicated, especially when you do business overseas. The tax inspector will then send you a form 'opgaaf gegevens startende ondernemingen' which has to be filed. Are you unable or unwilling to submit the return yourself? However, the Dutch VAT rate is still set by the local state. Filing a VAT return in the Netherlands can be quite complicated especially when you do business internationally. What is VAT rate in Netherlands? In late 2012, the Netherlands raised the standard VAT rate from 19% to a substantial 21%. 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. 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. Then you can choose to authorise someone else to do this on your behalf. The Dutch rate is average in comparison to other EU member states (see under the rate in other EU - member states). Finally, the return for corporate income tax is filed annually, at the end of the company’s financial year. 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. You must activate Javascript in order to view this website. 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 must submit your VAT returns digitally and on time, to avoid a fine. VAT return Netherlands. Then you are required to report this in your Dutch VAT return under section 4b. How to Shop Tax Free Please note that, in principal, the VAT return is filed electronically. Please note that if you have just started doing business in the Netherlands, and VAT is due, you have to register for VAT purposes. We will return the original documents to your correspondence address. You usually file a quarterly VAT return. And because the VAT rules and regulations, at home or abroad, are so… Submit your VAT return in the Netherlands In the Netherlands, entrepreneurs must file Value Added Tax returns (btw aangifte) with the Dutch Tax and Customs Administration on a monthly, quarterly or yearly basis (usually quarterly). There is reduced VAT rate (9%) for some goods and services.. Value Added Tax in Dutch. 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). The Netherlands brought in its Value Added Tax (VAT) regime in 1968. 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]. The due date to file these returns is the 10 th working day of the following month.. Intrastat thresholds in The Netherlands Rate Type RATES. Can I claim back VAT? 4.3) When is the deadline for filing the Dutch VAT return? –A British pop group performs at a concert held in the Netherlands and organised by a Dutch trader. A good tax intermediary can save you tons of money on your tax return in the Netherlands when you’re a home-owner. Your Dutch VAT return needs to be in compliance with Dutch VAT regulations. (Article 179 VAT Directive) For how and when to make a return, see VAT returns. 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. the consumer, which is why some people also refer to VAT as consumer tax. 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. 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. Definition of a VAT return. 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). The biggest complicator when it comes to VAT reclaim is compliancy related issues. You are sent a VAT return form for periods up to and including 2013. The first Netherlands VAT return must always be filed on paper. Share. 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. Our InterVAT specialists know all rules and legislation when you are trading in the Netherlands. To receive your VAT tax return in the Netherlands, a VAT tax application has to be filed with the tax authorities on a monthly or… Read more; VAT Advice. Like in most EU countries, Dutch Intrastat returns are filed monthly. 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