When Can Your Business Reclaim Import VAT?

Dutch businesses can deduct import VAT only when imported goods serve their own taxable transactions and their records support that role. An Article 23 permit moves import VAT to the VAT return, but does not create a deduction right. This affects cash forecasts, VAT returns and import controls.

Why this matters

Import VAT can affect the cash forecast before stock is sold. A customs payment alone is not enough for a VAT deduction. The contract, import declaration, stock record, and sales or service invoice should show the Dutch company’s taxable role. Article 23 moves VAT to the return and can avoid payment at the border. It leaves the deduction test intact. Take extra care where a foreign parent, customer, or supplier owns the goods.

Example

A Dutch company imports components owned by a foreign customer. It repacks them and invoices a handling fee. The customs declaration names the Dutch company, and finance books the import VAT. The file must show how its taxable handling service supports the VAT position. A processing or consignment arrangement needs the matching agreement and records. If the company buys the parts, bears inventory risk, and invoices the sale, the purchase and sales files usually provide a clearer basis.

XTROVERSO tips

• Map each party’s role. Record who owns the goods, imports them, files the customs declaration, holds the stock and makes the taxable sale or service.
• Connect the full import file. Link the contract, supplier invoice, customs document, transport record, stock movement and later customer invoice. Use one transaction reference where possible.
• Reconcile Article 23 entries. Match the import VAT in the return to customs and stock records. Keep the separate administration required for the permit.
• Check mandates and representation. Confirm whether your provider is a customs representative, a fiscal representative or both. Keep the written mandate with the import file.
• Review special arrangements separately. Do not treat handling, repacking or storage as active processing by default. Check whether processing or consignment conditions apply before claiming the VAT.
• Add the check to month-end. Review recent non-EU imports before filing the VAT return. Resolve gaps between the contract, customs record, ledger and taxable turnover.

The data, sourcing, and analysis behind this article were conducted by Linda Pavan. AI was not used to identify sources, build the factual basis, or produce the analytical judgment contained here. AI was used only as a drafting aid. The final English text was personally reviewed, edited, and approved by Linda Pavan before publication.

References

• Taxence — Mag elke ondernemer invoer-btw in aftrek brengen?
• Rechtspraak — Gerechtshof ’s-Hertogenbosch, ECLI:NL:GHSHE:2025:3535
• Belastingdienst — Welke btw mag u aftrekken?
• Belastingdienst — Vergunning artikel 23 aanvragen
• Overheid.nl — Omzetbelasting, aftrek van omzetbelasting
• Rechtspraak — Hoge Raad, ECLI:NL:HR:2021:674
• Belastingdienst — Beperkte vergunning fiscale vertegenwoordiging
• Belastingdienst — Btw bij zakendoen buiten de EU