On May 8, 2025, the updated VAT Decree on Administrative Obligations was published. This revised decree introduces several important substantive changes that affect entrepreneurs and, in some cases, non-entrepreneurs. We have summarized the most important changes below: 

1. Public transport transaction overviews now valid for claiming VAT deduction 

Transaction overviews for public transport journeys can now be used to deduct VAT, even if no OV-chipkaart (public transport card in the Netherlands) is used. This applies, for example, to payments made via debit card or smartphone. The overview must include specific details such as the travel date, route, and VAT amount. 

2. VAT on invoices from non-entrepreneurs must be paid to the Dutch Tax Authorities

Following the European Court of Justice ruling of January 30, 2024 (Case C-442/22, Dyrektor Izby Administracji Skarbowej w Lublinie), non-entrepreneurs may also be liable for VAT if they incorrectly include VAT on an invoice. This principle is now incorporated into the updated decree. 

3. Stricter research duty for incorrect VAT invoices

The rules for correcting wrongly charged VAT have been tightened. The recipient of an invoice now bears greater responsibility and must actively verify whether the VAT charged by the supplier is justified. In case of doubt, the recipient must consult public sources or contact the Dutch Tax Authorities. If this is not done, and the recipient deducts the VAT, the Dutch Tax Authorities may impose an additional VAT assessment under strict conditions. 

4. Special provision for ex officio refunds beyond the five-year term for overpaid VAT 

In the case of intra-EU distance sales or digital services, VAT is generally due in the country of destination (where the customer resides). If a Dutch entrepreneur incorrectly charges Dutch VAT instead of VAT in the destination country, and that country later issues an additional VAT assessment, this can result in double taxation. If the periods for issuing additional assessments differ between countries, this may lead to an ongoing double taxation situation. The State Secretary considers this undesirable and has approved an extended period for ex officio refund requests, aligned with the additional assessment period of the other EU member state. 

5. Reporting services to foreign entrepreneurs without a VAT ID number

In some cases, a foreign customer may not be able to provide a VAT identification number because they are using a small business scheme. As a result, the service provider cannot submit an ICP declaration, leading to discrepancies. The State Secretary deems this undesirable and has approved that, in such cases, the service provider may report the service in section 1E of the VAT return.