As a freelancer in the Netherlands, you can deduct business-related hardware and equipment from your taxes, but how you deduct them depends on their price and business use.
Immediate Deduction (Under €450 excl. VAT)
✔ Items under €450 (excluding VAT)? → You can fully deduct the cost immediately in the year of purchase.
✔ Can you reclaim VAT? → Yes, in the quarter of purchase.
Depreciation (Over €450 excl. VAT)
✔ Items over €450 (excluding VAT)? → You cannot deduct the full cost in one go.
✔ You must spread the deduction over multiple years (standard: 20% per year).
✔ Can you reclaim VAT? → Yes, immediately in the quarter of purchase.
Extra Tax Benefit: Small-Scale Investment Deduction (KIA)
Did you invest more than €2,901 in business assets in one year?
Then you might qualify for an additional tax deduction under the Small-Scale Investment Deduction (KIA). This can give you up to 28% extra tax deduction on your investments.
This only applies to larger investments, like multiple devices or professional equipment.
How to Justify These Expenses?
- An invoice in your business name (including VAT number and address).
- Proof that the purchase is business-related (if used privately, you can only deduct the business percentage).
- For VAT reclaim: Make sure the VAT amount is separately mentioned on the invoice.
💡 Bought it from an online platform like Temu/ Amazon? Ensure a proper VAT invoice.
Summary
Purchase Price (excl. VAT) | Income Tax Deduction | VAT Deduction? |
Under €450 | Fully deductible in the year of purchase | ✅ Yes, immediately reclaimable |
Over €450 | Must be depreciated (max. 20% per year) | ✅ Yes, immediately reclaimable |
Over €2,901 (total per year) | Additional deduction via KIA possible | ✅ Yes, immediately reclaimable |
Frequently Asked Questions
What if I buy a second-hand laptop?
You still need to depreciate it over 5 years (maximum 20% per year).
What if I use my laptop for both business and personal use?
You can only deduct the business percentage. If you use the laptop 50% for business and 50% for personal use, you can only deduct 50% of the cost.
Can I deduct accessories like a mouse or cables?
Yes! If they cost less than €450, you can deduct them immediately.
Important points to remember
- Under €450? Deduct immediately.
- Over €450? Depreciate over 5 years.
- VAT Always reclaimable immediately, even for depreciated assets.
- Large investments? Check if you qualify for the KIA deduction.
- Documentation? Keep records.