VAT exemption in practice
What if you are entitled to a VAT exemption?
- Your company generates turnover without collecting VAT.
- As a business, you are not allowed to deduct VAT on purchases.
- You are not required to submit a periodic VAT return.
Would you like to make use of the exemption scheme? If so, please bear these obligations in mind:
- Your invoices must contain the following statement: "Special exemption scheme for small enterprises".
- You must submit a customer list by 31 March each year.
Please note that certain activities are excluded from the exemption scheme, such as tobacco product retailing, fish markets, construction work, sales of new buildings, etc.
It should be noted that, since 1 July 2016, you are no longer required to submit an annual customer, if your business is covered by the exemption scheme for small businesses.