INCOME TAX RETURN FREELANCERS

There are certain tax facilities available for freelancers in the Netherlands. If you have a non-limited liability company as a self-employed entrepreneur/freelancer, then you have to declare your income as ‘business profits’. In that case you can also apply for certain entrepreneur facilities such as, investment allowance, tax-deferred retirement reserve and entrepreneur allowance (tax credits). Some entrepreneurs allowance are:

• Self-employed persons allowance (zelfstandigenaftrek)
• Starter allowance (startersaftrek)
• R&D allowance (S&O aftrek)
• Co-working partner relief (meewerkaftrek)

In order to fulfill the abovementioned allowances, you have to meet the ‘hour criterion’. This means you must be active for at least 1.225 hours a year. This includes direct working hours but also hours spent on travelling, market research and administration. In your first year it is smart to keep an administration of your hours spent. For example, you must work in your company 50 weeks of 24,5 hours a week. For certain cases they make an exemption, such as pregnancy.

Before we start rendering services to you, we confirm the service in an engagement letter or email (as you wish). If you make a copy of the required documents (see below) and send it to us by email or regular post, we will file the Dutch income tax return for freelancers / self-employed entrepreneurs.

If you want us to file and prepare the income tax return for you as a self-employed / freelancer, we need to have the following information from you:

• The tax invitation issued by the Dutch tax authorities
• An overview of the administration of the company or the annual figures (costs / revenue etc).
• The paid mortgage interest amount and the WOZ value of your house (if applicable)
• Study costs paid (if applicable and more then € 500)
• Overview of your worldwide assets (if applicable)
• In case you are living together or if you are married, info about your partner (name, BSN)