Here are the key points to remember for your final VAT return of 2023:
- BTA payment for private use of company cars is required in the last VAT return of 2023. This applies to both personal and commercial vehicles. Be aware that the tax rules for commuting miles in income tax may differ from VAT rules. Calculate VAT payment for private car use based on the ratio of business to private usage. If you can’t prove the ratio, use 2.7% of the car’s catalog price including VAT and BPM. Maintaining a mileage log can help establish the business-private usage ratio. In certain cases, VAT payment for private car use may be 1.5% instead of 2.7%. This applies to cars purchased without VAT deduction or used since 2018 or earlier.
- Regarding personnel benefits and corporate gifts: If you spent more than €227 (excluding VAT) per employee on personnel benefits in 2023, apply a VAT correction in your final VAT return. If you gave goods or services as gifts or at a symbolic cost to business associates in 2023, apply a correction if the recipient can’t deduct more than 30% VAT, and the value exceeds €227 (excluding VAT).
- For VAT on sales/services that are either taxable or exempt. You cannot deduct VAT related to exempted sales of goods and services.
- Review your previous estimations and make corrections if necessary in your final VAT return of 2023.
- A similar calculation applies to services and movable property partially used for private purposes in 2023.
- Different rules apply to investment goods like real estate or depreciable assets for income tax purposes, such as computers.
Source: crop.nl
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
