Opt out of charging BTW entirely if your turnover stays under €20,000 — but there’s a minimum 3-year commitment once you opt in.
Last updated: June 2026
The Kleineondernemersregeling lets businesses (sole traders, partnerships, and certain legal entities) with annual turnover under €20,000 opt out of charging BTW on their sales entirely. Once opted in, you don’t add BTW to your invoices, don’t file BTW returns, and — critically — cannot reclaim BTW on your business purchases either.
KOR tends to suit ZZP’ers and small businesses who sell mainly to private consumers (where 21% BTW would otherwise be a real price increase) and have relatively low reclaimable input BTW on business costs. It’s generally a poor fit for businesses that invoice mostly BTW-registered clients (who’d reclaim your BTW anyway) or that have significant equipment or stock purchases with reclaimable BTW.
Yes, you can apply for KOR to start from a specific date, though there are processing timeframes with the Belastingdienst to factor in before it takes effect.
You lose KOR eligibility for the following period and must start charging standard BTW again — exceeding the threshold mid-year has specific transitional consequences worth checking with the Belastingdienst.
Generally no, except in specific circumstances — the 3-year commitment is a deliberate feature to prevent businesses switching in and out opportunistically.
KOR is specifically a BTW/VAT scheme — it doesn’t directly change your income tax treatment, which is assessed separately.
The Dutch KOR is specifically for businesses established in the Netherlands, though a related EU-wide SME scheme allows some cross-border small businesses to access similar treatment under specific conditions.
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