Netherlands: Extension of VAT Exemption for specific taxable individuals
The European Union Official Gazette published Decision No. 2022/2542, which permits the Netherlands to extend the expiration date and the threshold of a VAT exemption for specific taxable persons. The decision allows application of the VAT exemption for taxable individuals with annual turnovers of no more than 25 000 EUR. This is to lighten the regulatory burden of small businesses and prevent internal market competition distortions. Nevertheless, the current VAT exemption threshold in the Netherlands is 20 000 EUR.
According to the latest decision, the deadline will now be 31 December 2024 instead of 31 December 2022. It will allow the Commission to evaluate the effectiveness and appropriateness of the current threshold.
Source: europa.eu
