Check here which taxes you will have to deal with when you start working as a freelancer
Every working person in the Netherlands has to deal with income tax. As a freelancer, and therefore your own boss, you have to arrange this yourself. The income tax must be arranged once a year before May 1. Here you indicate what your income has been for the past calendar year.
This white paper (in Dutch) explains step by step how income tax works.
📍Turnover tax (VAT declaration)
On top of the hourly rate, you will receive VAT. Each quarter, you have to declare VAT as a freelancer. Subsequently, you will see an amount of VAT that you have to transfer to the tax authorities. So keep this in mind when your earnings are paid out. At the end of each quarter, we will send you a financial overview, with your worked shifts for that period. This helps you to declare your VAT.
📍The Small Business arrangement (De Kleineondernemersregeling, KOR)
You may have heard of it. This arrangement means that if you have less than €20,000 turnover per year, you can apply for a VAT exemption. The sales tax will then be completely waived for you. You can participate in this arrangement for three years. During that period, you do not have to file a VAT return.
In this file (in Dutch) you can read how the sales tax works. However, there is an exception when you make use of KOR (Dutch).
📍VAT-ID
As a freelancer, you are your own boss. As you may know, you need a VAT ID for this. You can apply for this through the Chamber of Commerce or Tax Office. More information about applying? Check this article.