Providing services inside the EU

Check who should pay and declare VAT

Do you provide services to entrepreneurs? Or to private individuals? Who you supply to determines what you have to do with VAT.

Delivering services to business clients

In most cases, you reverse-charge VAT to your client in the EU, stating 'VAT reverse-charged' (btw verlegd) on your invoice. Your client will then pay VAT in their own country. But you cannot always reverse-charge VAT (in Dutch).

Examples of services where you cannot reverse-charge VAT are:

• restaurant or catering services;
• immovable property services;
• transport vehicle rental services;
• transport of persons;
• providing access to a cultural or sporting event.

Sometimes you will have to file a VAT return in your client's country. Use the calculation tool Diensten in en uit het buitenland (Services to and from foreign countries) or contact the tax authorities in the other country to determine what you have to do. An overview of tax authorities in EU countries can be found on the website of the European Commission.

Filing an ICP declaration

Did you reverse charge VAT to a trader within the EU? Then declare this service in your VAT return. You also fill in the service on the separate declaration of Intra-Community transactions. In the declaration, you list services which:

• you provide to an entrepreneur in another EU country;
• are taxed in the entrepreneur’s country of residence.

Delivering services to private individuals

Do you provide services to a private individual? Then you will usually have to charge Dutch VAT. For some services, other rules apply. Read more on the Netherlands Tax Administration's website (in Dutch) to determine who pays VAT.

Union scheme

Do you have to pay VAT in another EU country? You can make use of the Union scheme. In that case, you will arrange your VAT returns within the EU on a quarterly basis through the one-stop shop (OSS). This allows you to avoid having to arrange your VAT returns separately in each EU country. Learn how to file your VAT return for services to private individuals within the EU.

Check your customer’s VAT ID number

It is important to know that your customer is an entrepreneur. Especially if you reverse-charge VAT. If it turns out your customer is not an entrepreneur, you may have to pay the VAT. You will then receive an additional assessment.

Entrepreneurs have a VAT ID number. Check whether your customer’s VAT number is correct on the website of the European Commission.

Take national legislation into account

Are you going to work in another EU country? Then you almost always have to deal with national rules. Such as a reporting requirement in the country where you are going to work. You register yourself before you start. This also applies if your employee is going to work in another EU country.

Some countries have protected professions. These professions differ per EU country. Additional rules apply. For example, if you work in Germany or Belgium.

In most cases, you or your employee will remain socially insured in the Netherlands. You can apply for an A1 certificate from the Sociale Verzekeringsbank (SVB).

Would you like to know more about local laws and customs in the country where you provide the service? On the EU Access2Markets website, you can find information on a large number of countries. There is information on do's and don'ts, laws and regulations, and sectors. The Netherlands Enterprise Agency RVO also offers a tool, available in Dutch only: the exportwijzer.

EU Point of Single Contact websites (PSCs)

Point of Single Contact websites are online governmental information portals that can help you find out about rules and regulations, formalities, and guidelines for providing services or establishing a business in an EU country. For example, the PSC for the Netherlands is Business.gov.nl, the site you are currently on. The network is part of the EU Single Digital Gateway. The PSCs can point you towards the right institutions to deal with administrative procedures.