Since January 2020, there has been a Small Businesses Scheme (kleineondernemersregeling, KOR). There is no longer a reduction on the VAT (btw) to be remitted, but instead you can opt for a VAT exemption. You will then no longer receive VAT and therefore no longer have to declare VAT.
How does the Small Businesses Scheme (KOR) work?
With the introduction of the KOR, you receive a VAT exemption instead of a tax reduction. You can use this if your turnover does not exceed €20,000 per calendar year. The advantage is that you no longer have to file VAT returns, the disadvantage is that you can no longer reclaim VAT on costs incurred. As of January 1, 2025, there is no longer a mandatory three-year participation period. If you want to deregister from the KOR, you can easily do so via Mijn Belastingdienst Zakelijk.
Signing up for the KOR?
If you want to participate in the KOR, you need to register via Mijn Belastingdienst Zakelijk. Until the KOR takes effect for you, you will still receive VAT on all your invoices. Don't forget to update this on your YoungOnes profile! As soon as the Small Businesses Scheme takes effect, it will be applied to all invoices issued from that moment on. So suppose the Small Businesses Scheme takes effect on April 1 and on April 4 you receive an invoice from your March gig, the Small Businesses Scheme will be applied.
Please note: it is your responsibility to properly inform us whether you are using the Small Businesses Scheme and as of when. We cannot change the VAT on the invoices afterwards.
