DED memorandum 2021

December 22, 2021
BUA

Introduction

The VAT Deduction Exclusion Decree (“DED”) precludes the recovery of VAT on promotional gifts and staff benefits if they were provided free or below cost by the business. A threshold of EUR 227 per recipient applies. No DED adjustment is necessary if the total purchase and production costs (the cost price) of the benefits are less than EUR 227 (excluding VAT) per annum per recipient. This is a final threshold: if the threshold is exceeded, the input VAT on the provisions within the threshold amount is also non-recoverable.

Download our memorandum including a flowchart that can be used to determine in general terms and on a step-by-step basis whether a DED adjustment is necessary.

© 2022 Meijburg & Co is a partnership of limited liability companies under Dutch law, is registered in the Trade Register under number 53753348
and a member firm of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee.
All rights reserved.