Dutch VAT rates and VAT compliance

As an EU member state, the Netherlands follows EU rules on value added tax (VAT) compliance. Domestic VAT (in Dutch: belasting over de toegevoegde waarde, or BTW) is administered by the Belastingdienst. The standard VAT rate in the Netherlands is 21%. A reduced rate of 9% and a zero rate apply to certain goods and services.

A limited number of activities are VAT-exempt in the Netherlands. These include services in healthcare, education, insurance, and some financial activities. Supplies made by qualifying non-profits may also be exempt. Input VAT cannot generally be recovered for exempt activities.

A VAT number is required for all businesses carrying out taxable activities in the Netherlands. There is no registration threshold for non-resident businesses — any taxable transaction generally triggers the obligation to register. 

For business-to-consumer (B2C) supplies of cross-border goods or digital services, the €10,000 EU-wide threshold governs whether Dutch VAT must be charged directly or through the One-Stop Shop (OSS) scheme. 

Get more information on VAT registration in the Netherlands.

VAT-registered businesses in the Netherlands must file periodic returns, usually quarterly, though monthly filings may be required based on turnover or upon request.

Returns include VAT on sales (output VAT) and recoverable VAT on purchases (input VAT). In addition to regular filings, businesses may also be required to submit : 

• Annual VAT returns
• EC Sales Lists (ICP Opgaaf)
• Intrastat declarations

All returns are submitted electronically through the Belastingdienst portal. 

Get more information on VAT returns in the Netherlands.

Foreign businesses storing goods in the Netherlands must consider VAT registration:

• Call-off stock: No registration is needed if a formal agreement exists, goods are transferred within one year, and the customer’s VAT ID is known.
• Consignment stock: VAT registration is required if goods are stored under the supplier’s control for multiple customers.
• Imports from outside the EU may trigger VAT registration regardless of arrangement.

The Netherlands allows businesses with an Article 23 licence to defer import VAT. This means VAT due at import is not paid at the border but reported and reclaimed in the VAT return. 

To use Article 23, a business must be VAT-registered in the Netherlands. Non-EU businesses usually require a fiscal representative to apply. The scheme is widely used by importers and ecommerce sellers to improve cash flow.

Foreign businesses providing digital services (telecom, broadcasting, electronically supplied services) to Dutch consumers must charge Dutch VAT. Once the €10,000 EU-wide B2C threshold is exceeded, Dutch VAT must be applied unless the OSS scheme is used. 

The standard VAT rate of 21% generally applies. Businesses must register for VAT or the OSS scheme, depending on their setup.

EU businesses can reclaim Dutch VAT using the 8th Directive through their national tax authority. The deadline is 30 September of the following year. 

Non-EU businesses must use the 13th Directive if a reciprocity agreement exists. The deadline is 30 June of the following year. A fiscal representative may be required. 

Some non-established businesses conducting only reverse-charge activities may reclaim VAT under simplified rules.

Intrastat declarations monitor intra-EU trade. Dutch VAT-registered businesses must submit Intrastat filings if they exceed annual thresholds:

The Netherlands requires monthly EC Sales Lists (Opgaaf ICP) for intra-EU B2B supplies of goods and certain services. Even if no sales occurred, nil filings may still be required. 

Details include:

• Customer VAT identification numbers
• Total value of goods or services supplied
• Type of transaction

These lists must be filed electronically through the Belastingdienst portal. 

Businesses must issue compliant invoices that show the following:

• Supplier and customer details
• VAT number
• Description of goods/services
• VAT rate and amount

Time-of-supply rules:

• Goods: Tax point arises when goods are delivered or the invoice is issued (whichever comes first)
• Services: Tax point is the earlier of invoice issuance or completion of the service
• Imports: VAT is due at the time of customs clearance unless deferred via Article 23

Businesses must retain VAT records for at least seven years. VAT returns and payments are due by the last day of the month following the reporting period.