Supplementary VAT return now must be submitted within eight weeks

VAT entrepreneurs in the Netherlands are required to submit VAT returns within the prescribed deadlines. If a VAT entrepreneur discovers that a VAT return submitted within the five years preceding the current fiscal year is incorrect or incomplete, it must correct the inaccuracy by filing a supplementary VAT return.  

Previously, a supplementary VAT return had to be submitted “as soon as possible” but before the entrepreneur knew or reasonably should have suspected that the tax authorities were or would become aware of the inaccuracy. This condition has been eliminated; From 1 January  2025, VAT entrepreneurs must file the supplementary VAT return within eight weeks of discovering the inaccuracy. 

It should be noted, however, that even under the eight-week  deadline, taxpayers still must file an supplementary VAT return when they become aware or reasonably suspect that the tax authorities will discover issues with the submitted return. And the supplementary  return must be filed before the tax authorities launch an investigation and/or audit—this is the only way to avoid penalties. 

Transition period 

Even though the eight-week deadline to submit an supplementary VAT return applies from 2025, taxpayers that have identified inaccuracies in their VAT returns before 1 January 2025 for which the tax inspector is not yet aware of the issues, still have eight weeks to file a supplementary VAT return. 

Penalties 

Failure to comply with the a supplementary VAT return requirement will give rise to penalties. If the failure is intentional or a result of the taxpayer’s gross negligence, a penalty of up to 100% of the VAT due may be imposed. 

Action steps 

The introduction of the eight-week deadline means that entrepreneurs need to act quickly if they discover inaccuracies in previously submitted VAT returns. To avoid penalties, the supplementary VAT return has to be filed within the eight-week window and before the tax authorities discover the error. This tightening of the rules may have immediate consequences. If a taxpayer determined before 2025 that one or more of its VAT returns submitted for 2020 through 2024 contained errors, for example, when preparing the relevant financial statements, the supplementary VAT return must be submitted within eight weeks of 1 January 2025, i.e., by 26 February 2025. Any delay in filing may result in the imposition of a negligence penalty.  

More information?  

If you have any questions or need assistance with the preparation and submission of supplementary VAT return, we would be happy to assist you. Please contact one of our VAT specialists.