Privacy-proof value-added tax number for sole traders

With effect from the first of January 2020 sole traders in the Netherlands are to be given a new value-added tax identification number of which the BSN (Citizen Service Number) no longer forms part. This has been done for privacy reasons. The value-added tax identification number is made up of 14 characters, the sequence being as follows: NL – nine digits – B – two-digit control number (an example would be NL123456789B56).

It is compulsory for entrepreneurs to disclose their value-added tax identification number in their invoices and stationery and on their web site in order for them to identify themselves as value-added tax payers. The current value-added tax number for sole traders is being converted into a turnover tax number for use in the sole trader’s communication with the Tax and Customs Administration and for inclusion in the value-added tax returns he or she submits. The turnover tax number is made up of the sole trader’s BSN followed by “B01” (or a different number). The Tax and Customs Administration will write to all sole traders to notify them of their new value-added tax identification number before the current year is out.

Further details are available at www.belastingdienst.nl (dutch), but rest assured – as always – that you can contact us with any questions you may have.

Dutch version: Nieuw btw-nummer voor eenmanszaken