2025 Tax benefits for freelancers in the Netherlands

Xolo
Written by Xolo
on January 16, 2025 4 minute read

Freelancers, or ZZP’ers as they’re known in the Netherlands, need to stay informed on helpful tax benefits and incentives in the Netherlands. These beneficial breaks and allowances can dramatically maximise any self-employed pro’s business potential.

With local language limitations and typical bureaucratic red tape and jargon, discovering these tax benefits may not always be easy–especially for those just starting out. 

Thankfully, today’s Dutch-based entrepreneurs may often take advantage of three key programs: MIA, Vamil and KIA, when considering investments in sustainable and small-scale business assets. Let’s break them down and see just how freelancers in the Netherlands can benefit from them in 2025.

Understanding MIA, Vamil & KIA’s tax benefits in the Netherlands

Freelancers can do two amazing things in 2025 by simply taking advantage of some tax benefits:

  • Contribute to a more sustainable future through eco-friendly business assets
  • Snag some great tax advantages in the Netherlands!

This year, three key programs––MIA, Vamil and KIA––provide financial incentives for green-minded small business owners and entrepreneurs. These programs are designed to support freelancers through substantial deductions on taxable income and flexible depreciation options. Let’s discover how to make them work for you.

Tax benefit #1: MIA (Environmental Investment Allowance)

The MIA program supports entrepreneurs who invest in environmentally friendly business assets. By doing so, you can deduct a percentage of the investment cost from your taxable profit, reducing your overall tax burden.

In 2025, freelancers investing in eligible green technologies, as outlined in the Environmental List, can deduct up to 45% of the investment cost from their taxable income.

Examples of eligible assets:

  • Energy-efficient machinery
  • Electric vehicles
  • Equipment that supports the circular economy

Tax benefit #2: Vamil (Arbitrary Depreciation for Environmental Investments)

The Vamil program works alongside MIA, allowing freelancers to determine the depreciation rate for their green investments. This flexibility lets you spread the investment cost over a timeline that best suits your financial situation.

In 2025, you can write off 75% of your investment cost in the first year, which is especially helpful for a freelancer’s cash-flow management.

Vamil is ideal for self-employed entrepreneurs in the Netherlands who are looking to improve liquidity while investing in sustainable assets.

Tax benefit #3: KIA (Small-Scale Investment Deduction)

The KIA program is designed to encourage small-scale investments across various business categories. As a freelancer, you can claim a deduction based on your total qualifying investments within a calendar year.

For 2025, freelancers investing between €2,901 and €392,230 in qualifying assets can deduct a certain percentage from their taxable income, subject to conditions.

This program is perfect for smaller purchases like equipment, tools or other assets essential to your business operations.

How these programs work to serve Dutch-based freelancers in 2025

By combining these programs as you see fit, freelancers have a truly unique opportunity to maximize their benefits. 

Pairing MIA and Vamil would allow freelancers to invest in green teh, while aligning depreciation with revenue flows to boost income. The KIA program offers deductions for essential and commonplace business investments such as equipment and tools.

Together these programs provide an all-encompassing approach towards reducing taxable income and supporting sustainable, eco-friendly business growth.

Combining MIA and Vamil’s tax benefits

Freelancers investing in environmentally friendly assets can benefit from combining MIA and Vamil. For example, by investing in an electric delivery bike or solar panels for your business, you can:

  • Deduct part of the cost with MIA
  • Defer depreciation with Vamil to align expenses with your revenue flow

This combination not only reduces taxable profit but also improves cash flow, enabling you to reinvest in your business.

KIA: Benefits for everyday business investments

The KIA program applies to smaller-scale investments that are, not necessarily, environmentally focused but crucial for running your business. Examples include extraordinarily common decisions such as:

  • Upgrading your laptop
  • Purchasing ergonomic office furniture
  • Acquiring new tools or software

Deductions like these can lower your taxable income on a more frequent basis, enabling you to net more cash through everyday decision making.

Fresh changes to MIA, Vamil and KIA in 2025

The Dutch government has refined these programs for 2025 to ensure they align with local sustainability and economic goals:

  • MIA: An increased focus on assets that support the energy transition and circular economy. The Environmental List for 2025 highlights assets eligible for maximum deductions.
  • Vamil: Adjusted to allow 75% arbitrary depreciation on eligible investments, giving freelancers more flexibility in managing finances.
  • KIA: The maximum deduction remains at 28%, but the thresholds for qualifying investments have been updated.

4 steps to take advantage of these freelance-friendly tax benefits

Get going in just a few steps with your 2025 tax breaks! 

  1. Review eligible investments:
    Check the Environmental List (for MIA and Vamil) and the general guidelines for KIA to identify qualifying assets for your business.

  2. Register your investments:
    For MIA and Vamil, you must register your investment with the Rijksdienst voor Ondernemend Nederland (RVO) within three months of purchase.

  3. Claim the deductions:
    Work with one of our Xolo accountants to ensure you claim any correct deductions when filing your annual tax return.

  4. Plan strategically:
    Leverage Vamil’s flexibility to align depreciation with your income, and maximize the KIA benefit by timing your purchases within a single calendar year.

The MIA, Vamil and KIA programs are powerful tools for freelancers in the Netherlands looking to invest in their businesses while reducing their overall tax burdens. Whether you’re focusing on sustainability with MIA and Vamil or making essential purchases with KIA, these programs are designed to support your growth.

Simple business

Get consistent and local tax assistance with Xolo!

Navigating tax deductions and investment allowances can be complex, but Xolo is here to simplify it for freelancers and ZZP’ers in the Netherlands:

  • Bookkeeping made easy: Xolo’s intuitive platform helps you track eligible investments and manage tax filings seamlessly.
  • Expert tax advice: Stay informed on MIA, Vamil, and KIA’s requirements to ensure you claim maximum deductions.
  • Compliance support: Ensure your investments are registered correctly and comply with Dutch tax laws.

Take full advantage of every tax break – every time! Let Xolo handle your admin work so you can focus on growing your business. Explore our solutions today and make 2025 your most successful year yet.

    Make your freelance life easier in the Netherlands.

    Try Xolo!