Income/VAT on personal part-time income (EU citizen -> US company) (no ZZP)

[Alexandru]

Hello,

My name is Alexandru and I am a student. I hold an EU citizenship, so I don't need any visa permits. Since April of this year, I have been employed by a United States-based customer, commuting between full-time and part-time. My relationship between me and them is that of a contractor-client, with multiple clauses in the contract that stipulate we explicitly do not enter an employment agreement. I'm working just for them, for an indefinite period of time. I am not representing any legal entity and, as per my understanding from the KVK's website, I am required to declare my income as additional income and complete a form at the beginning of next year. Is this true? Can I operate in this way - no legal entity, just a regular person that is doing a 2h/day contract, declaring ALL revenue at the beginning of next year!?

Upon reviewing the KVK website recently, I discovered that I should quarterly file VAT!? I honestly do not understand if I should or not, because I don't represent any legal entity. I do not deduct costs on my revenue. It's just that I receive some money bi-weekly. I anticipate a turnover of less than $8,000 this year, so really, this is a student working part-time.

Could you tell me if I should pay VAT or no? What exactly do I need to declare - just my additional income at the beginning of next year? I called to KVK multiple times, but different operators tell me different things.

Thank you for your attention to this matter. Excuse me for not writing this in dutch, but I believe the translation would have missed on some important details.

Sincerely,
Alexandru

[dArgent]

Welcome to the forum Akexandru,

 

i.m.o.

You don't sell anything with Vat, the US based company does not pay you Vat, nor deducts it?

If so, you do not need to, can not, declare Vat.

[Alexandru]

Thank you dArgent,

 

I do not believe the company pays me VAT. We agreed on an hourly rate, and they pay me ( hourly rate * hours worked per month). Each transfer (we use an international HR payroll platform) does not seem to mention anything about VAT.

[shoptillyoudrop]

Probably your customer has no idea about "VAT" (it's a US company!).

 

However: since you are a NL business you are subject to VAT (= 'BTW' or 'omzetbelasting') here.

 

But: your services are towards a non-UE company so you should not charge any VAT in this case.

 

Another thing is this: should you really register as a "BTW plichtige" (for VAT) company when you only work freelance for a US company? And therefore submit quarterly (or whatever) VAT returns stating "zero turnover".

 

That's a bit a grey area (to my opinion)...

5 november 2024 aangepast door shoptillyoudrop
typo

[dArgent]

i did not understand he is a NL business, but just employed by a United States-based customer

[shoptillyoudrop]

If he's "actually employed" by a US entity , or not, is not (to my opinon) something we can judge.

 

It sounds a bit (his story) as if that's the case, but in the contract is says "we explicitly do not enter an employment agreement". For what that's worth, from a law point of view.

 

But assuming he's not employed: then he's a NL business/ZZP/freelancer or whatever. With all requirements involved.