Tax

VAT on the invoice

When you provide a service, this is almost always subject to payment of 21 percent VAT. The VAT is charged to your client, who can often claim the VAT back from the tax department when we deduct this. The VAT is thus separate from your fee. The work you do determines the VAT rate that you can charge your client. This must be indicated clearly on the invoice. It does not matter whether your client is a foundation, private individual or a commercial enterprise.

Expenses and VAT

We often receive the comment that no VAT must be charged on expenses, but this is incorrect. When you charge expenses on the invoice, the same VAT rules are applicable as to your activities.

Rates

Different VAT rates

Read more about different VAT rates below.

The standard VAT rate for services is 21 percent. When you are in doubt about the VAT rate, enter 21 percent. Feel free to contact us. Your client can often claim the VAT back, so it does not have any influence on your client's expenses, even if it looks like it since you invoice your activities and add 21% to it.

Various services are taxed at 9 percent VAT. These are services that are stimulated by the government, but are not completely exempt. When you invoice at 9 percent, you can clearly indicate why you think this should be 9 percent. Examples of services that are taxed at 9 percent VAT are: crafts (such as bicycle repairs, clothing repairs, shoemakers, hairdressers), renovation work on homes older than 2 years, artists and passenger transport. The service must be clearly stated on the invoice.

Certain services are exempt from VAT because they make a significant contribution to society. The categories we mention are just a few. If you believe that your service is also exempt, please state this clearly under "other". It must be clear from your invoice that it concerns exempt services.

This concerns society and culture, such as:

  • writing (noncommercial)
  • journalism
  • education at a registered educational institution
  • teaching persons younger than 21
  • activities for ANBI foundations
  • activities for sports associations and/or non-profit sports clubs

Many special services in healthcare are also exempt, such as:

  • caring for persons in a non-profit institution
  • health care workers (humans)
  • healthcare paid by the WMO and WLZ
  • child care and childminder care
  • supervision of school-age children during the lunch break

It is also possible to shift services to your client that are normally taxed with VAT. This is common in construction or when you invoice foreign organizations. You must then clearly state the VAT number to which we are transferring the VAT, so that we can pass this on to the tax authorities.

Are you interested?

Would you like to discuss your specific situation? Then contact us without obligation. We are happy to help you become your own boss in a way that suits you.