Dutch VAT (BTW) Guide 2025: Rates, Registration, Returns & Compliance

In 2025, the standard VAT rate in the Netherlands is 21%, and the reduced rate is 9%. Which rate applies depends on the type of goods or services you sell.

In most cases, yes: if you sell VAT-taxable goods or services, you will receive a VAT number after registering your business (typically via the KVK). A common exception is opting into the KOR scheme (small business VAT exemption), which removes VAT obligations but also removes input VAT deduction.

The KOR (Kleineondernemersregeling) is a small business scheme that can exempt you from VAT obligations if your annual turnover stays below €20,000. You must opt in; it is not automatic.

Yes, if you are VAT-registered (and not using KOR) you can generally deduct input VAT on business expenses, provided you have valid invoices and the costs are for taxable business activities. Mixed private/business use often requires a proportional split.

With 0% VAT (zero-rated), you charge 0% to the customer but you can usually still reclaim input VAT on related business costs. With VAT-exempt activities, you do not charge VAT and you typically cannot reclaim input VAT linked to those exempt sales.

Reverse charge (VAT shifting) can apply in specific situations, for example certain cross-border EU B2B services or specific sectors where fraud risk is higher. In a reverse-charge invoice, you do not charge VAT; the customer accounts for VAT instead. Always ensure your invoice includes the required reverse-charge wording.

Yes. For many 0% intra-EU B2B supplies, you must have a valid customer VAT number and keep evidence that you checked it (commonly via VIES). Without validation evidence, you may lose the right to apply 0% VAT.