Costs & deductions

Deductible business expenses

What counts as a business cost, what it actually saves you, and where the limits sit.

3 min read

In plain English

A business expense is anything you buy because of your business. Deducting it means it comes off your profit, so you pay income tax over a smaller number.

A deduction is not a refund. Spending €1.000 on something you do not need never saves you €1.000 — it saves you the tax on it, which for most freelancers is somewhere around a third.

The test is simple in words and strict in practice: would you have bought this if you did not run this business? Keep the invoice either way.

Laptop & equipment
Usually deductible
Above roughly €450 it is an investment, written off over several years.
Office supplies
Usually deductible
Deducted in full in the year you buy them.
Software subscriptions
Usually deductible
Fully deductible when used for the business.
Business phone
Usually deductible
Split private and business use honestly; only the business share counts.
Internet
Usually deductible
Home internet is usually partly deductible, not all of it.
Business travel
Usually deductible
Keep the purpose and destination with the receipt.
Training & courses
Usually deductible
Deductible when it maintains or improves your professional skills.
Marketing
Usually deductible
Website, ads, business cards, portfolio shoots.
Professional insurance
Usually deductible
Liability and professional indemnity are business costs.
Accountant & advice
Usually deductible
Bookkeeping, tax filing and business advice all count.
Business meals
Usually deductible
Partly deductible — there is a limit, and personal lunches never count.

Why it matters

Missed costs mean you overpay income tax — most starters forget more than they over-claim.
Business purchases usually also give you the VAT back, on top of the profit deduction.
Getting the private/business split right up front avoids corrections years later.

When it applies

The cost is genuinely for the business, or you split it fairly between business and private use.
You have a valid invoice or receipt, kept for seven years.
Items above roughly €450 that last years are investments: they are spread over several years instead of deducted at once.

A practical example

The €1.200 laptop

You buy a €1.200 laptop (excluding VAT) and use it 80% for work.

You reclaim the business share of the VAT, and because it lasts years you write off the €960 business part over roughly five years instead of deducting it in one go.

Result: a smaller deduction now, but a real one every year — and a clean record if anyone asks.

Common mistakes

Deducting everyday clothing, fines, or ordinary commuting-style private trips.
Claiming 100% of a phone or car that is clearly used privately too.
Losing thermal-paper receipts — photograph them the same day.
Deducting a big asset entirely in the year you bought it.

Knowledge check

You buy a laptop you use mostly for client work. Can you usually treat this as a business expense?

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Back to the Learning Hub Tax glossary

These explanations are simplified for clarity and are not tax advice. Rules change; check with the Belastingdienst or ask Ardel for a review.