VAT Number
We would like to draw your attention to several obligations related to the rental of your holiday home:
- Rental of a holiday home is subject to VAT. For this purpose, a VAT number must be obtained from the Dutch Tax Authorities. Thereafter, periodic VAT returns must be filed unless you opt for the “Small Business Scheme” (KOR) after receiving your VAT number.
- The ownership of the holiday home must be declared in your annual income tax return under “Box 3”. This applies to both residents of the Netherlands and residents abroad.
To ensure correct (tax) processing of your rental income, we kindly ask you to provide us with the following:
- Your VAT number
- If applicable, the confirmation letter from the Tax Authorities regarding your registration for the “Small Business Scheme” (KOR)
Since tax systems differ between the Netherlands and neighbouring countries, it is advisable to seek information in advance about the specific legal and fiscal aspects concerning leisure property. Income tax, VAT and transfer tax are the most common levies.
Income Tax
The holiday home falls under Box 3. As many tax obligations depend on your personal circumstances, we recommend consulting a tax advisor or accountant, or contacting the tax authorities directly.
Value Added Tax (VAT)
If you purchase and operate a holiday home with the intention of earning rental income, you may be regarded as an entrepreneur for VAT purposes. To be classified as such, you must apply for a VAT number from your regional tax office. If you use the property exclusively for personal purposes, you are not considered an entrepreneur for VAT. The tax authorities will assume you are a VAT entrepreneur only if the property is rented out for at least 140 days per year through a professional rental organisation. Tip: If you rent out your holiday home for fewer than 140 days per year, it may still be considered an asset being used to generate sustainable income.
VAT (21%) on the sale of a holiday home
When purchasing a new holiday home, VAT must always be paid. A “new” home is one delivered during construction or within two years after first use. If you rent out the property through an organisation such as Landal, you may reclaim the VAT. If the home is partly for private use, only part of the input VAT is deductible, calculated in proportion to the rental and private-use periods.
VAT on rental income
Rental income received by the owner (entrepreneur) is subject to VAT at the reduced rate (since 1 January 2019: 9%). This VAT must be remitted to the tax authorities unless you qualify for the small business exemption.
The 2025 Tax Plan proposes increasing VAT on recreational rentals from 9% to 21%.
Small Business Scheme (KOR)
More information can be found on the websites of the Dutch Government or the Tax Authorities.
Entrepreneurs with an annual turnover below €20,000 in the Netherlands can opt for VAT exemption. This means they do not charge VAT, do not file VAT returns, and are exempt from related administrative obligations. However, they also cannot reclaim input VAT.
We recommend that buyers consult their financial or tax advisor to determine whether this scheme applies and is beneficial.
Hello Zeeland B.V. is not a tax advisor. This document is intended solely to provide guidance on fiscal matters related to purchasing a recreational property. For detailed and personal advice, please consult your tax advisor. No rights can be derived from the above text.
Transfer Tax
When ownership of a property is transferred, transfer tax is generally due — even in the case of a VAT-taxable transaction. If the purchase is made under “kosten koper” (buyer’s costs), the buyer pays the tax; if purchased “vrij op naam” (all-in price), the seller bears the cost. The transfer tax rate is 10.4% of the purchase price.