The Dutch Freelancer’s Guide to Ensure VAT can be Reclaimed

Reducing your tax bill is perhaps one of the greatest superpowers a freelancer can obtain.

The kryptonite of bureaucracy can often make this a painful or difficult experience, and freelancers –– known as ZZP’ers in the Netherlands –– often face this tricky battle with VAT when filing and preparing taxes.

Our guide explains exactly when VAT is deductible, what to watch for on your invoices, and how best to avoid making common mistakes that lead you away from tax savings.

How to understand when Dutch VAT is deductible

There are two main situations where Dutch VAT (known as ‘btw’ locally) is deductible for freelancers and small business owners. This occurs when you make domestic purchases within the Netherlands, and intra and non-EU purchases from foreign suppliers. 

Let’s break each down in simple formats.

Domestic purchases

These are purchases from a Dutch-based supplier going to your Dutch-based business. In order for these types of purchases to have deductible VAT, you’ll want to ensure that:

• The supplier’s Dutch VAT number must appear on the invoice.
• You can reclaim VAT in your VAT return as usual.

A very common example of this would be: You buy a laptop from a Dutch electronics store. The invoice includes the supplier’s VAT number → You can deduct the VAT from your taxes. Simple.

Intra-EU or Non-EU purchases (foreign supplier → NL business)

These purchases are from foreign suppliers and issued to your Dutch-based business. You might need to buy something from overseas, or from another country within the EU. In these cases you’ll want to be aware of the reverse charge mechanism.

We recommend a quick read on our article explaining the reverse charge mechanism here. If you’re in-the-know now, then you can break these invoices down like such:

• Both your Dutch VAT number and the supplier’s VAT number must be listed on the invoice.
• The invoice is normally issued without VAT.
• You apply the reverse charge mechanism in your Dutch VAT return.
  
  

Another good example of this would be: You buy a software subscription from a German company. The invoice lists both VAT numbers and no VAT is charged → You account for the VAT in your return under the reverse charge, and deduct it in the same return.

Knowing the difference: personal and business accounts

A personal account is the default account for consumers in the Netherlands. Payments made from these accounts are always treated as consumer purchases.

VAT is charged abroad on personal accounts and can, in no way, be reclaimed in the Netherlands. 

Business accounts (Amazon Business, Apple for Business, etc.) include your Dutch VAT number and also ensure that you are correctly issuing invoices

• With Dutch VAT (deductible), or…
• Without VAT, where you apply the reverse charge (also deductible).

We’ve got a whole article on Amazon VAT invoice guidance here if you’re keen!

Avoid the most common pitfall that prevents VAT reclaiming

⚠️  If the invoice looks like a consumer receipt (missing VAT number, incomplete details), VAT is not deductible.

Online marketplaces like Amazon or Apple usually issue consumer-style receipts by default. These are not valid for VAT deduction. To reclaim VAT, you must use a Business account linked to your Dutch VAT number.

Having this set up and ready to go ahead of time is the best practice.

It’s why we recommend you:

• Keep two separate accounts: one for personal purchases, one for business.
• Always check that your VAT number is visible on the invoice.
• Save invoices properly — they are required in case of audits.
• Never submit consumer receipts with non-deductible VAT in your VAT return. This can lead to corrections or fines.

Frequently asked questions on reclaiming expenses

1. Can I reclaim VAT on a restaurant bill when meeting a client?

Partially. In the Netherlands, VAT on meals and entertainment expenses is often only partly deductible. Check the Belastingdienst guidelines for details.

2. What if I forget to enter my VAT number on Amazon or Apple?
   

The invoice will be treated as a consumer invoice, and the VAT cannot be reclaimed. To avoid this, always make purchases via your Business account.

3. Can I reclaim VAT on purchases made outside the EU?
   

Yes, but only if the invoice is issued without VAT and both VAT numbers are present. You must then apply the reverse charge mechanism in your VAT return.

4. What happens if I mistakenly reclaim VAT on a non-deductible invoice?
   

The Belastingdienst may correct your VAT return and issue a fine. Always double-check your invoices before including them in your return.

5. Is VAT reclaim the same for all freelancers (ZZP’ers) in the Netherlands?
   

Yes, the rules apply the same way whether you’re a freelancer, ZZP’er, or one-person company. The key factor is having a valid business invoice.

Xolo makes VAT a walk in the tulip-filled park

Correct invoices are the foundation for reclaiming VAT in the Netherlands. Doing VAT right saves you money, keeps you compliant and avoids unnecessary stress when tax time comes around.

Our team at Xolo is dedicated to simplifying your accounting and VAT, each and every step of your freelance career in the Netherlands. If you’re hoping to spend more time growing your business, and less time pouring over admin tasks while stressing about compliance…

Join Xolo Netherlands and let us handle VAT, invoicing, and compliance for you.