FRECUENTLY ASKED QUESTIONS
Self-employed or Freelancer in The Netherlands
There are some criteria that KVK applies to determine if you have a business.
The three criteria for a business are:
- You supply goods and/or services;
- You demand more than a token payment for this; with the idea of having future profits.
- You engage in regular business transactions. In other words, they have sold the service and product more than 1 time in the year.
Those are the 3 KVK criteria for registering your business, however there are other considerations. It is possible that the Tax Agency ( Belastingdienst ) and other organizations do not see you as an entrepreneur, but you are obliged to request a VAT number (BTW nummer ), to issue service invoices.
We recommend that you evaluate the answers to these questions before deciding to register.
- Do you invest money and/or time to start or grow your company?
- Do you work in your own business on a regular basis, or is it just a one-time sale of a service or product?
- Will you work for more than 1 client? If you have only one client for a longer period of time, you are more likely to have a job as a
- Do you decide when and how you do the work that you are offering to your client?
- Eenmanszaak – Sole proprietor or self-employed
- Vennootschap onder firma (vof) – General partnership
- Professioneel partnerschap (maatschap) – Professional association
- Commanditaire vennootschap (CV) – Limited company
- Besloten vennootschap (bv) in Nederland – Limited Liability Company
- Naamloze vennootschap (NV) – Limited company
- Vereniging – Association
- Stichting – Foundation
- Cooperatie – Cooperative
- Rechtspersoonlijkheid – Legal personality
- Stitching Trustkantoor (STAK) – Trust Office Foundation
- Se houdstermaatschappij – Holding company
- Joint venture – joint project
- Buitenlandse entiteiten en filialen – Foreign entities and branches
- European bedrijfsstructuren – European business structures
PSM Consultancy only provides tax administration services for Eenmanszaak (freelance) or Vennootschap companies onder firma – vof (collective society)
This type of legal form of business is a sole proprietorship where you are the sole owner of your business. This is the case if you practice an independent profession (eg notary or general practitioner) or if you are the sole owner of your business. With this legal form of business, you can also hire staff, however you would also have to deal with filing payroll taxes. This type of company is not a legal person, therefore it is responsible for its debts.
This type of legal form of company is a general partnership, Vennootschap onder firma ( vof ), with which you can start the company with one or more partners. In order to fulfill the responsibilities of the partners, they can draw up a contract with the help of a professional. The vof is not a legal entity. Each partner is responsible for all debts of the partnership.
If you register with the KVK on October 10, 2022, then your first VAT return would be in January 2023 and your first income tax return would be in March 2023.
Yes, it is possible to be an employee as an employee and also be registered with the KVK as a freelancer ( eenmanszaak or Vof ). In the income statement you must indicate the income as an employee that is found in the jaaropgaaf (annual payroll) and also the earnings as a self-employed person, each income in the corresponding section of the income statement.
Registering as a freelancer is very simple. They may also talk about Eenmanszaak , Vof , ZZP or ZZP’ers , but they also refer to this. The process can be done in 5 simple steps. Once registered you will have rights but also obligations.
To register as a freelancer ( eenmanszaak ), you need to go to the website of the Dutch Chamber of Commerce (KVK) and follow these steps:
After they have verified your identity and requirements, you will be asked to make the registration payment, the cost is 75.00 euros as of January 1, 2023.
- You pay a one-time registration fee.
- You can immediately buy an extract from the Commercial Register.
- You can pay by debit card, credit card or mobile. cash is not possible
Pay only with credit or debit card. Keep in mind that the Mercantile Registry extract can be used to open a business bank account, request loans as a company, among others.
After registering as an autonomous ( eenmanszaak ) or Vof with the KVK, you will have two tax obligations:
a) Income statement (March-April)
Review the following link on the documents to be submitted for the income statement:
Review the following link on the types of forms for the income statement:
Income declaration is made between March – April of the following year that you wish to declare, this declaration is called Inkomstenbelasting in Dutch.
b) VAT declaration – BTW (January, April, July and October)
VAT declaration is made in January, April, July and October, after having registered your company in the KVK. this statement is called Omzetbelasting or BTW in Dutch
The VAT declaration ( Omzetbelasting ) is a declaration that must be made by companies about the VAT (BTW in Dutch) that they have invoiced. It is important to know on what dates it must be done because if they are not submitted on time, the fines can exceed 5,120 euros for the self-employed ( eenmanszaak ) or a company (VOF):
- First quarter (Q1-2023):
In April 2023, invoices for income and expenses with issuance dates from January to March 2023 must be declared.
- Second quarter (Q2-2023).
In July 2023, income and expense invoices with an issuance date from April to June 2023 must be declared.
- Third quarter (Q3-2023) .
In October 2023, income and expense invoices with an issuance date from July to September 2023 must be declared.
- Fourth Quarter (Q4-2023) .
In January 2024, income and expense invoices with an issuance date from October to December 2023 must be declared.
If you purchase goods or services in the Netherlands, you will receive an invoice from your supplier. This invoice must meet a series of requirements and include the following information:
- Provider name and address
- Supplier VAT identification number
- Name and direction
- invoice number
- invoice date
- Date the goods or services were supplied
- Quantity and type of goods supplied
- Nature and type of services provided
Invoices must also include the following data for each VAT rate or exemption:
- Price per piece or unit, without VAT
- Any reduction that is not included in the price
- VAT rate that has been applied
- Cost (the price without VAT)
- In case of advance payment: the payment date, if it is different from the invoice date
- VAT amount
- In some cases, your VAT identification number must also be included on the invoice. This is the case for the export of goods to other EU countries and for certain services involved, such as transport services. Your VAT identification number must also be included on the invoice in cases or charges reversed.
There is no standard invoice format, however they always have to show the information requested by the Tax Authorities ( Belastingdienst ). Our online platform can help you automatically generate invoices for your company, saving time preparing them.
We recommend you read the following link with detailed information on this topic:
Yes, after you register your company in the KVK you are obliged to file VAT declarations quarterly, even if you have not had income or expenses as a company. VAT declarations are made in January, April, July and October of each year. Since you registered your company in January 2022, your first VAT declaration is made in April 2022.
If you do not send the VAT declaration, you will automatically receive a fine from the tax authorities.
If you have registered a company ( eenmanszaak or VoF ), you are not obliged to open a business bank account, however it is advisable to have a business bank account, because it facilitates the administration for you and the accountant when identifying expenses or income related to your business.
It also provides security and formality for customers or suppliers who work with your company. Keep in mind that having a company bank account often has a monthly cost, some banks have business bank accounts with reduced bank charges for the first 2 years of the company’s creation.
You can apply for a ZEZ benefit from the time you are 24 weeks pregnant. You can apply no later than 2 weeks before the start date of your maternity leave. In addition, you can request a ZEZ benefit from 1 year ago retroactively, but in this case you will receive less benefits. If you apply for the benefit after 1 year, then you will no longer receive any benefits.
After you submit your application, they will review your case and can give you maternity pay for at least 16 weeks. During this period you cannot issue any income invoices to your clients. The maternity salary is transferred once a week to your bank account.
It is important that you know if your client is really an entrepreneur. This is because if your administration proves that your client is not an entrepreneur, they have to know how to handle the tax calculation.
You must go to the website of the European Commission. You can check the VAT identification numbers of your suppliers from all EU Member States at the following link: https://ec.europa.eu/taxation_customs/vies/
As a self-employed person you have to pay income tax ( inkomstenbelasting ) on the profits of your sole proprietorship or self-employment. Various rates apply in the Netherlands depending on how the Tax Agency ( Belastingdienst ) classifies income.
There are three categories referred to in the Netherlands as boxes: box 1, box 2, box 3. Self-employment benefits ( eenmanszaak ) are taxed in box 1: taxable income from employment and home ownership.” ( belastbaar inkomen itu werk en woning ).
If the Tax Agency ( Belastingdienst ) recognizes you as a business owner and you meet the hours criteria (you must spend a minimum of 1225 hours, between billed and non-billed hours, per year to your business to qualify), then you will be entitled to certain subsidies for entrepreneurs. ( ondernemersaftrek ): various tax benefits, such as the private company ownership allowance ( zelfstandigenaftrek ) and the tax relief for new companies ( startersaftrek ). After deducting these allowances from their profits, entrepreneurs are entitled to an additional 14% tax allowance, through the SME Profit Exemption ( mkb-winstvrijstelling ).
In the Netherlands, a sole proprietorship or self-employed company ( eenmanszaak ) has a legal structure, with no legal personality. This means that you are responsible for all of your actions, debts, and company finances. No difference is made between your personal and business assets. Therefore, your suppliers or customers have the right to claim your personal assets. You will also need to file for personal bankruptcy if your sole proprietorship files for bankruptcy. If you have a partner, you can avoid bankruptcy too by drawing up a (pre)marital or registered partnership agreement.