Dutch tax terms, explained in English

Belastingdienstthe Dutch tax office

The government body that levies and collects taxes, including VAT and income tax. You file your VAT return in Mijn Belastingdienst Zakelijk and your income tax return in Mijn Belastingdienst. Letter from the Belastingdienst

KvK (Kamer van Koophandel)the Dutch KvK business register

This is where you register your business. You then get a KvK number of eight digits, which belongs on your invoices, quotes, letters and website. Starting a sole proprietorship

Eenmanszaaksole proprietorship

A common legal form for people starting on their own. There is no separate company next to you: the profit is your income, you pay income tax on it, and your private assets are liable for the debts of the business. Bookkeeping yourself or an accountant?

Btw-identificatienummer (btw-id)your VAT number for customers

The number for all your contact with customers and suppliers: it goes on your invoices, your letterhead and your website. It looks like NL123456789B01 — NL, nine digits, the letter B and two digits. VAT number and turnover tax number

Omzetbelastingnummer (ob-nummer)your number at the Dutch tax office

You use this number only when dealing with the Belastingdienst itself, for example in a letter or on the phone. If you are self-employed (zzp), the first nine digits are your citizen service number (BSN) — so never put it on an invoice. VAT number and turnover tax number

Machtigingauthorisation to act on your behalf

With a machtiging someone else, your accountant for instance, may handle your tax matters at the Dutch tax office (Belastingdienst). As a sole trader you arrange it with DigiD Machtigen, with a vof or bv through a chain authorisation (ketenmachtiging) via eHerkenning. You never give your DigiD login details to anyone else. Authorising your accountant

Beconnummerregistration number of a bookkeeper

A number by which the Dutch tax office (Belastingdienst) recognises a tax service provider, such as a bookkeeping practice (administratiekantoor) or tax consultant. It is optional and free. It is your bookkeeper's number, not yours: as a business owner you do not apply for one yourself. Starting a bookkeeping practice

Aangiftebriefinvitation to file a return

The letter in which the Dutch tax office (Belastingdienst) asks you to file an income tax return. Once you receive it, filing is mandatory; the deadline is in the letter and is often 1 May. Income tax return

Voorlopige aanslagprovisional income tax assessment

An estimate of the income tax you will pay or get back, so you can pay or receive it monthly instead of all at once. After your return it is settled against the definitieve aanslag. If the estimate no longer fits, you can have it changed. Voorlopige aanslag (provisional assessment)

Definitieve aanslagfinal assessment

The assessment you receive after your income tax return. What you already paid or received through the voorlopige aanslag is settled against it. Letter from the Belastingdienst

Naheffingsaanslagadditional assessment, usually for VAT

An assessment you receive when VAT is missing, for example because you forgot to file a VAT return or did not pay it (in full). If you forgot the return, it contains an estimated amount and you still file the return in Mijn Belastingdienst Zakelijk. Letter from the Belastingdienst

Suppletiecorrection of a VAT return

The form you use to correct a mistake in an earlier VAT return. If it concerns € 1,000 or less, you include the difference in your next return; if it is more, you file a suppletie, no later than eight weeks after you discovered the mistake. Corrections are possible up to five years after the year concerned.

Factuureiseninvoice requirements

The details an invoice to another business must contain, such as your btw-id, your KvK number, a sequential invoice number and the VAT amount per rate. You send the invoice no later than the 15th day of the month after the supply. Invoice requirements

Creditnotacredit note

An invoice with a negative amount that reverses an invoice you already sent, in full or in part. You do not change an invoice once sent; you correct it with a credit note.

Bewaarplichtduty to keep records for seven years

The obligation to keep your records for seven years: invoices, bank statements, your ledger and contracts. Records about real estate must be kept for ten years. Keeping them digitally is allowed, as long as everything stays readable and verifiable. Keeping records

Auditfile (XAF)export of your bookkeeping

A file with the complete journal of a financial year, in a fixed format that the Dutch tax office (Belastingdienst) can read during an audit. From 1 January 2027 the Belastingdienst accepts only XAF 4.0 for submission. Importing an audit file

RGS (Referentiegrootboekschema)standard Dutch chart of accounts

A Dutch standard list of ledger accounts, so that a set of books means the same thing in every package and at the accountant. RGS is also meant for official bodies: it ties in with SBR (Standard Business Reporting), the standard for submitting figures to the Dutch Belastingdienst, the KvK, the bank and other official institutions. The chart of accounts in booxx is based on it.

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