# Can I claim Interest on Business Loans (Rentelasten) as a business expense in Netherlands?

**Partially claimable.** 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.

Typical amount: Earnings-stripping limit: 20% of EBITDA or EUR 1 million (whichever is higher). Example: BV with EUR 3m EBITDA and EUR 800k net interest: EUR 800k is fully deductible (below both the EUR 1m floor and the 20% EBITDA test of EUR 600k).

## What Belastingdienst (Dutch Tax and Customs Administration) says

Wet VPB 1969 Art. 15b: earnings-stripping rule (ATAD): net interest limited to higher of 20% EBITDA or EUR 1 million. Art. 10a Vpb: anti-avoidance for related-party interest on tainted transactions. Disallowed interest carries forward indefinitely.

## When you can claim

- Interest on bank loans, invoice financing, asset finance, and lease finance from unrelated lenders
- Net interest below EUR 1 million per year: fully deductible for most Dutch SMEs without an earnings-stripping test
- Bank arrangement fees and commitment fees on genuine commercial lending

## When you cannot claim

- Net interest exceeding both EUR 1 million and 20% of fiscal EBITDA under the earnings-stripping rule
- Related-party interest under Art. 10a Vpb where the loan funds a capital contribution, acquisition of a related entity, or dividend to a related party, without commercial rationale
- BTW on interest payments: interest is BTW-exempt, so no input BTW is available

## Good to know

**Pro tip:** Track the carry-forward of any disallowed interest each year. There is no time limit on the carry-forward. When EBITDA improves in a future year and creates headroom, the carried-forward interest becomes deductible at that point.

**Important:** For BVs with significant intra-group lending, the Art. 10a anti-avoidance rules are separate from earnings-stripping and can deny the deduction entirely. Always document the commercial rationale for intra-group loans with a proper loan agreement and arm's-length interest rate.

Source: https://www.belastingdienst.nl/wps/wcm/connect/bldcontentnl/belastingdienst/zakelijk/winst/vennootschapsbelasting/

## Related expenses

- [Equipment and Machinery (Bedrijfsmiddelen)](https://accounts-os.com/nl/expenses/equipment-nl)
- [Office Rent and Co-working (Huur Bedrijfsruimte)](https://accounts-os.com/nl/expenses/rent-office-nl)