Filing VAT returns in 2025: when, how and what you need to know

As an entrepreneur or self-employed person in the Netherlands, you will soon have to deal with VAT declarations. This involves reporting to the tax authorities how much VAT you have received from your customers. You also report how much VAT you yourself have paid to your suppliers.

In this article, we will explain to you when to file a tax return, how exactly it works, what all you need to fill in and what you should definitely pay attention to in order to avoid mistakes.

What is VAT declaration?

Through your VAT return, you let the tax authorities know how much you have earned and spent. And that includes the VAT you charged to customers or paid yourself. You use this to calculate the difference. Sometimes you have to pay, sometimes you get money back.

Most entrepreneurs file VAT returns on a quarterly basis. But in some cases it can also be monthly or annual. Once you are registered as a VAT entrepreneur, you will automatically be notified by the tax authorities when it is time to file a tax return. So you know exactly when it is time.

When do you have to file VAT returns?

So most entrepreneurs file VAT returns every quarter. You will then receive a reminder from the tax authorities four times a year. The deadline is always one month after the end of the quarter. So: quarter over? Then you still have one month to arrange your return.

Exception: VAT return monthly or annually

Some entrepreneurs declare VAT every month, others only once a year. How often you have to declare VAT depends on how much VAT you have to pay or get back. This is determined when you register with the Chamber of Commerce or in consultation with the Tax and Customs Administration.

Entrepreneurs who have to pay a lot of VAT usually submit monthly returns. This gives the tax authorities more control and prevents you from having to transfer a large amount in one go. Entrepreneurs with a low VAT payment may, in some cases, submit annual returns. This saves time and administration, but you then have to wait longer for a possible VAT refund.

How do you file VAT returns?

Declaration of VAT online My Tax Business. Do you use an accounting program? Then you can often send your return directly from that programme.

The declaration itself consists of a few clear steps:

1. Your turnover by VAT rate - What you have invoiced, broken down into 21%, 9% or 0%
2. The VAT you calculated - The system calculates this for you based on your turnover.
3. Preload - The VAT you paid on business expenses. You can deduct those.
4. Diversions or arrangements - Did you reverse charge VAT, for example for EU deliveries? Then enter that here.
5. The final amount - What you have to pay or get back.

And don't forget to file your tax return on time as well as pay on time. Both deadlines are the same.

Preload

An important piece of your VAT return is input VAT. By this we mean the VAT you paid on your business expenses and investments. Good news: in most cases, you can simply deduct these expenses from the VAT you have received yourself.

Want to look at this in more detail? Then read our article on preload.

VAT rates

In the Netherlands, you have to deal with three different VAT rates. Which one you should use depends on what exactly you are selling. Here's how:

• 21% VAT - This is the standard rate and applies to most products and services. From electronics to marketing advice
• 9% btw - This is a lower rate that includes food and drinks, hairdressing, books and some cultural services.
• 0% VAT - You use this rate when exporting abroad and for a few specific exempt supplies.

In doubt about which rate to use? Check it carefully, because a mistake on your invoice could lead to nasty corrections or additional taxes from the tax authorities.

VAT exemption

Some entrepreneurs do not have to charge or declare VAT. This applies to specific sectors and situations, such as:

• Medical professions - Doctors, dentists and other healthcare providers do not have to charge VAT for their services.
• Education - Schools, universities and other educational institutions are often covered by VAT exemption for their educational activities.
• Sports associations - Sports clubs and sports associations do not have to charge VAT on their membership fees and sports activities.
• Participants in the small business scheme (KOR) - Small entrepreneurs with a low turnover can apply for the KOR and are then exempt from VAT.

Conclusion

Filing VAT returns is not complicated at all. As long as you are on time and know what to fill in. If you keep your records well and keep an eye on the rules, it's a piece of cake. And do you have an accountant? Then you don't have to worry. Your accountant will make sure your records are neatly taken care of.