This question I get 8 out of 10 questions. When do I need to register at the chamber of commerce and become a real entrepeneur?
My advice is standard if you deal independent of your family and friends and just on people you meet at our society. Then you have to register at the chamber of commerce and get a VAT-number.
But when does the tax office see you as an entrepeneur?
For the VAT/BTW as soon as you buy and sell products or services at the marketplace called society.
For the incometax your are an entrepeneur as soon as you make 1225 hours for your company (or more hours then the job you have a side).
If I look tax wise to the the benefits you can earn in the income tax situation then you see diverent options:
- you have a job beside the business and you make less then 8000€ profit in your business and you work more then 1225h at your job, you best stay employee and do not register as entrepeneur. Dependent of you total income you pay between 36,5% to 50,5% on taxes over the 8000€.
- you have a small job (less the 23h a week) and make between 8000€ and 24000€ profit, then you register as entrepeneur at the chamber of commerce and become a real enterpeneur and you have to do quarterly your VAT declarations and at the income tax moment you have do a profit declaration.
- if you don't have any job beside and only run your business, you work more then 1225h at your business and make till 24.000€ profit you best register and work as an entrepeneur. Till 24.000€ profit (tax wise) you don't pay any taxes, only a health contribution due around €675.
- if you work as an entrepeneur and you make more then 24.000€ profit in most cases it stays profitable to be a zzp-er of entrepeneur. If you have a risky business and you can't get an insurance for it, then it is wise to get a personal company like a BV/Ltd.
