Declaration of Independent Contractor Status (VAR)

If you work in the Netherlands as an independent worker without employees (zzp’er) or a freelance worker, your client needs to know whether the Tax and Customs Administration considers you an entrepreneur or an employee.

Does the Tax and Customs Administration consider you as a salaried employee?

Through the opting-in-scheme your client is responsible for levying and paying income tax and national insurance contributions. You hereby agree with your client that he pays the income tax and social insurance contributions for you. If you and your client opt for this scheme, you must report this in a joint statement to the Tax and Customs Administration before you start the work.

Does the Tax and Customs Administration consider you as an entrepreneur?

With a Declaration of Income Tax Status (VAR) you offer a guarantee to your client that the Tax and Customs Administration considers you as an entrepreneur. There are 4 VAR declarations:

• Declaration of Income Tax Status (income from employment) (VAR-loon: Verklaring arbeidsrelatie-loon uit dienstbetrekking);
• Declaration of Income Tax Status (results from other activities) (VAR-row: Verklaring arbeidsrelatie-resultaat uit overige werkzaamheden);
• Declaration of Income Tax Status (profits from business activities) (VAR-wuo: Verklaring arbeidsrelatie-winst uit onderneming);
• Declaration of Income Tax Status (income from activities at the company's risk and expense) (VAR-dga: Verklaring arbeidsrelatie-inkomsten uit werkzaamheden voor rekening en risico van de vennootschap).

Your personal situation determines which VAR you will receive. You can request the VAR in writing or request it digitally at the Tax and Customs Administration. Requesting the VAR is free.

Period of validity VAR

The VAR is valid for a maximum period of one calendar year. For the new calendar year you can request a new VAR as from 1 September. You usually receive the VAR within 5 working days, and at the latest within 8 weeks.

Applying for a VAR

If you plan to become an independent contractor, you would be wise to apply for a Declaration of Independent Contractor Status (VAR) when you start your business. You can request the VAR online or by post, using the ‘Declaration of Independent Contractor Status Request’ form (Aanvraag Verklaring arbeidsrelatie).

You will automatically receive a VAR if:

• you have requested a VAR for the past three years;
• you have repeatedly requested a VAR for the same type of work;
• you have completed the work under comparable circumstances;
• you have repeatedly received the same type of VAR from the Dutch Tax and Customs Administration;
• the Tax and Customs Administration has not carried out an interim revision of the VARs.

Requesting a VAR from abroad

If your company is established abroad and you need to apply for a Declaration of Independent Contractor Status for assignments in the Netherlands, please contact the Department of International Issues of the Dutch Tax and Customs Administration in Heerlen. This division of the Tax and Customs Administration (Belastingdienst) checks whether the combination of citizen service number (burgerservicenummer, BSN) and the VAR is correct. You may opt to be notified of the result of this check in writing.

Checking the authenticity of a VAR

As a client, you can contact the VAR National Coordination Point (Landelijk Coördinatiepunt VAR) by telephone to have the authenticity of a VAR checked by calling +31 (0)88 151 1000. This division of the Dutch Tax and Customs Administration (Belastingdienst) checks whether the combination of citizen service number (burgerservicenummer, BSN) and the VAR is correct. You may opt to be notified of the result of this check in writing.