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Dutch VAT Rebate System To Be Simplified

by Ulrika Lomas, Tax-News.com, Brussels

07 April 2009

Dutch State Secretary De Jager on March 30 announced measures which will simplify procedures for entrepreneurs to reclaim Dutch VAT that has been invoiced in other European Member States. As from January 1, 2010, VAT rebates can be claimed via the Dutch Tax and Customs Administration.

In addition, entrepreneurs who provide cross-border services to other entrepreneurs need no longer invoice VAT. VAT fraud will also be tackled more severely on the basis of new provisions, stated the Dutch government.

“The cabinet has adopted an amendment of the Turnover Tax Act on the proposal of State Secretary De Jager of Finance. As a result, entrepreneurs will no longer need to contact foreign tax authorities when filing a request for a refund as from January 1, 2010 and refunding will take place more quickly. Foreign tax authorities have to compensate the interest when they do not comply with the period set,” De Jager explained.

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