Changes in the Small Entrepreneurs Scheme in the EU from 2025: What You Need to Know

• Small business owners in the EU can use the Small Entrepreneurs Scheme (KOR) in another EU member state from January 1, 2025
• Changes in the KOR aim to align the Dutch KOR with other EU member states, reducing the need for registration and VAT filings in other countries
• The implementation of the EU directive in the Dutch VAT law allows small businesses to apply for the KOR in another EU country from 2025
• The KOR in the Netherlands allows VAT-exempt status for businesses with annual turnover below €20,000, with exemptions from administrative obligations and VAT deductions
• The new law allows for early termination of the KOR participation period, eliminating the previous three-year mandatory participation period
• Dutch businesses can terminate their KOR participation by giving notice, with termination taking effect at the start of the next calendar quarter at least four weeks after notice

Source: taxlive.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.

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