Answers on VAT, income tax and setting money aside, with worked examples for tax year 2026 and links to the source.
These articles explain how things work. They are not tax advice. For your own situation, check the Belastingdienst or ask your accountant.
Tax year 2026 · 6 min read
Set aside all the VAT you invoice: it isn't yours. For income tax and Zvw, it depends on your profit over the whole year. At €35,000 profit, that averages around 9.7%, but about 37.6% of each extra euro already goes to the Belastingdienst.
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Tax year 2026 · 5 min read
Charge VAT on your amount excluding VAT: usually 21%, sometimes 9% or 0%. Deduct the VAT you pay on business costs. Pay the difference with your VAT return, usually quarterly, by the last day of the month after the quarter.
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Tax year 2026 · 7 min read
Your profit is reduced by the self-employed deduction (€1,200 in 2026, if you meet the hours criterion), possibly the starter deduction (€2,123) and the SME profit exemption (12.7%). On what's left you pay 35.75% up to €38,883 and 37.56% above, minus tax credits. On top of that you pay 4.85% Zvw.
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Tax year 2026 · 5 min read
The KOR is a VAT exemption for businesses with at most €20,000 revenue a year, in the current year and the year before. You don't charge VAT and don't reclaim VAT. If you go over €20,000 during the year, you leave immediately and charge VAT again.
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