Term · VAT
VAT (btw)
Tax you charge on your turnover and pay to the Dutch Tax Administration (Belastingdienst). You deduct the VAT you pay on business costs as input VAT. The rates are 21%, 9% and 0%.
VAT is a tax ultimately paid by the consumer. As a business owner, you mainly pass it on: you charge VAT to your customers, deduct the VAT on your purchases and pay the difference through your VAT return.
Most businesses file quarterly. Some services are exempt, such as care provided by BIG-registered professionals and accredited education.