What can Netherlands businesses claim as expenses?

Advertising, digital marketing, website costs, trade show fees, and promotional materials are fully deductible as revenue expenses for Dutch VPB. There is no restriction provided the spend has a genuine business purpose. Cross-border digital advertising services from Google, Meta, and LinkedIn require reverse charge BTW accounting.

Business insurance premiums paid by a Dutch company are fully deductible for VPB. This includes employer liability (WAV), public liability (BAV), property, business interruption, cyber, and legal expenses insurance. Insurance premiums are exempt from BTW in the Netherlands — assurantiebelasting (21%) applies instead but is not recoverable.

Business meals and client entertainment costs are 80% deductible for Dutch VPB. The remaining 20% is a permanent disallowance under the gemengde kosten rule (Article 3.15 Wet IB applied via VPB). There is no monetary cap; the 80% rule applies to restaurant meals, client hospitality, and similar entertainment.

Business equipment and machinery are capitalised and depreciated over their economic useful life for Dutch VPB. Small items below approximately EUR 450 can be expensed directly. Investment incentives include KIA (28% small-scale deduction), MIA (27-45% for environmental assets), and VAMIL (accelerated depreciation). Buildings can only be depreciated down to their WOZ value.

Home office costs are only deductible for VPB purposes if the workspace is formally let to the BV under a written rental agreement at commercial rent. For employees and DGAs, a tax-free home working allowance of EUR 2.35 per day under the WKR is the practical alternative.

Interest on business loans is deductible for Dutch VPB, subject to the earnings-stripping rule: net interest expense is limited to the higher of 20% of fiscal EBITDA or EUR 1 million. For most Dutch SMEs, the EUR 1 million threshold means the restriction rarely applies. Related-party interest may face additional restrictions under Article 10a Vpb.

Company car costs are fully deductible for VPB. If the car is also available for private use, a taxable benefit in kind (bijtelling) at 22% of catalogue value is added to the DGA's or employee's wage. A no-private-use declaration (verklaring geen prive gebruik) eliminates the bijtelling if private use is genuinely nil.

Office rent, co-working space fees, storage unit rent, and other business premises costs are fully deductible for Dutch VPB. Commercial property leases can be structured as BTW-taxed (optie belaste verhuur at 21%) allowing the tenant to recover input BTW, which benefits both parties if both are BTW-registered.

Accountancy, legal, tax advisory, and other professional service fees incurred for business purposes are fully deductible for Dutch VPB. Fees directly related to capital transactions such as M&A legal costs for acquiring a subsidiary are capitalised into the cost base rather than expensed.

Wages, salaries, employer national insurance contributions, and pension contributions paid to employees and the DGA are fully deductible for Dutch VPB. The DGA minimum salary (gebruikelijk loon) is EUR 56,000 in 2025. Remuneration above EUR 650,000 per individual faces a 25% partial disallowance.