If you want to freelance and be self-employed in the Netherlands you need register at the KvK (Chamber of Commerce). They will provides you a btw (VAT)-number. You need this for your invoices and in order te deduct expenses.
Value added tax (VAT) is called Belasting Toegevoegde Waarde (btw)
‘Small-sized entrepreneurs’ are Kleine Ondernemers
If you have a small sum of btw, the regulation Kleineondernemersregeling applies. In this case you will pay less or no btw at all. You must meet the administrative requirements for btw, such as keeping a clear administration. When you’re working with us, your Bookie makes sure that we’ll apply this regulation.
Income Tax and Return once a year
Every citizen in the Netherlands that has an income pays taxes. As an entrepreneur you are entitled to certain facilities, like deductions, discounts etc.
In order to do so there are some requirements: like having at least 3 clients, profiling your business, meeting the ‘hour criterion’ (> 1225 hours per year). There are exceptions. Please ask your Bookie.
Keeping a proper administration
As an entrepreneur you’re legally obliged to keep clear administrative records. These records must be preserved for at least seven years. This includes sent and paid invoices, expenses connected with business activities, income and private use of goods and services.
An invoices should be numbered in consecutive numbers and should state:
- number and date,
- your name and address of the supplier or customer (and the VAT identification number when trading with another EU country),
- name and address of your customer
- description of the service provided,
- prices exclusive of btw,
- the btw amounts, split into the btw rates of 0, 6 or 21
- prices inclusive of btw,
- bank account and term of payment
Let The Bookie do the work for you
We know how confusing the Dutch tax system can be. That’s one of the reasons a lot of expats work with us. We do their accounting, tax returns, etc. Using The Bookie Web App makes sure you won’t forget fill in or keep anything. You’re Bookie is the one you call in case you’re lost. Want to know how we work exactly? Read this manual or apply for a free light account.