11.1     General information

Members of diplomatic missions and consular posts may enjoy certain fiscal privileges. These privileges are granted in the interests of the diplomatic missions or consular posts, so that they can function efficiently, and not for the personal benefit of their staff. 

Staff members with Dutch nationality or permanent residents do not enjoy the tax exemptions mentioned in the other sections of this chapter.

The Tax Administration (Belastingdienst) has a special desk for international organisations, diplomatic missions and consular posts: Team IFB (Team Internationale Fiscale Behandeling).

Team IFB can be contacted by post (Postbus 30509, 2500 GM The Hague) or by email. 

Enquiries concerning these topics can be sent to the following email addresses:
Income tax:             Haaglanden.CB_IFB@belastingdienst.nl. 
VAT and excise duties:     IFB.Diplomatieke.Privileges@belastingdienst.nl. 
Motor vehicles:         Particulieren.IFB.Bijzondere.Kentekens@belastingdienst.nl.

The address for visitors to the Hague office of the Tax Administration is: Prinses Beatrixlaan 512, 2595 BL The Hague.

The Ministry of Finance (Ministerie van Financiën) can be contacted as follows:
Postal address: Postbus 20201, 2500 EE The Hague
Telephone: +31 (0)70 342 8000
Online information: https://www.government.nl/ministries/ministry-of-finance

11.2     Conditions for tax exemptions – indirect taxes

There are two packages of fiscal privileges (A and B) which the Netherlands accords to diplomatic missions and consular posts. An overview of the tax exemptions in packages A and B can be found in Annexes F, G and H. 

The main rule in the Netherlands is that exemption from the payment of tax is granted by way of a refund.

Package B covers the exemptions under the Vienna Convention and provides only limited tax exemptions for the purchase of goods and services for the official use of diplomatic and consular posts and personal use (Annexe F). 

Please note the following information with regard to the tax exemptions:
•    Exemption from tax (excise duty only) on fuel is granted only under the following conditions:
o    for established monthly quotas (Annexe G); 
o    if a fuel card is used; and
o    only for motor vehicles with a special registration plate. 

Package A is granted on the basis of reciprocity and provides multiple tax exemptions in addition to the privileges of package B for official use and personal use. Please note the following information with regard to the tax exemptions:

•    The VAT exemption is granted for the purchase of a reasonable amount of goods and services (Annexe F).
•    The exemption from the payment of VAT is not granted for services, immovable property and food and beverages for personal use.
•    Administrative, technical and service staff are eligible for the exemptions only for 10 years after taking up employment in the Netherlands.
•    Alcoholic beverages are exempt within established annual quotas (Annexe G) and only if they are purchased in an excise warehouse. The exemption will only be granted in advance.
•    Exemption from tax on fuel is granted only under the following conditions:
o    for established monthly quotas (Annexe G); 
o    if a fuel card is used; and
o    only for motor vehicles with special registration plates. 

11.3     Value added tax

11.3.1     Conditions and exemption by way of refund 

11.3.1.1    Diplomatic missions and consular posts - package A (official use)

Diplomatic missions and consular posts eligible for package A are exempt from value added tax (VAT) paid for the purchase of a reasonable amount of goods (except tobacco) and services intended for their official use. 

The VAT exemption is granted only where the invoice amount is at least €225 (excluding VAT). However, multiple purchases from the same seller in the same calendar quarter can be added together to reach this threshold. No exemption will be granted if purchases made by different diplomatic missions or consular posts have been added together on the same invoice.

11.3.1.2    Diplomatic missions and consular posts that fall under package B (official use)

Exemption from VAT may be obtained for:

•    the purchase of immovable property, and associated rights in rem, intended for the post’s official use, including immovable property and associated rights in rem intended for accommodating the post’s staff, with the exception of honorary consuls; 
•    the purchase of goods and services intended for the construction, renovation, repair and maintenance, not including cleaning, of the mission’s/post’s official buildings, with the exception of the honorary consul’s home; 
•    the renting of immovable property intended for official use – this is only applicable if the rent is subject to Dutch VAT according to the rental agreement;
•    the letting to the mission/post of immovable property intended for official use; 
•    the supply of movable goods and services for the purpose of renovating, restoring and maintaining official buildings, except for the residence of the honorary consul; 
•    the supply to a diplomatic mission or a consular post headed by a career consular officer of gas, water, electricity and domestic fuel intended for official use, including use by the head of the mission;
•    the provision of security and cleaning services for the official buildings, including the protection of members of the mission or post; and
•    telecommunications services for the benefit of the official functions of a diplomatic mission or a consular post headed by a career consular officer.

The threshold amount of at least €225 (excluding VAT) per invoice is also applicable in these situations.

11.3.1.3    Consular posts headed by an honorary consular officer

The VAT exemption enjoyed by honorary consular posts is limited to the following transactions: 

•    the purchase of immovable property, and associated rights in rem, intended for the post’s official use, including immovable property and associated rights in rem intended for the accommodation of the post’s staff, with the exception of honorary consuls; 
•    the purchase of goods and services intended for the construction, renovation, repair and maintenance, not including cleaning, of the post’s official buildings, with the exception of the honorary consul’s home;
•    the letting to the post of immovable property intended for official use. 

11.3.1.4 Staff of diplomatic missions and consular posts that fall under package A (personal use)

A reasonable amount of movable goods intended for personal use (other than motor vehicles, food and alcoholic or other beverages) may be exempted from VAT. 

The VAT exemption is granted only where the invoice amount is at least €225 (excluding VAT). However, multiple purchases from the same seller in the same calendar quarter can be added together to reach this threshold. No exemption will be granted if purchases made by different persons have been added together on the same invoice.

11.3.1.5 Restrictions on VAT exemption for personal use

The exemption does not apply to goods supplied by hotels, restaurants, cafés, catering organisations and related bodies. Furthermore, immovable property and services (BTW voor diensten) are excluded from the exemption. 

Exemption from VAT is not granted in respect of goods which exceed a reasonable amount, are returned, are used for business purposes, or which are sold, given away, hired out or in any other way put at the disposal of third parties by the person concerned.

11.3.1.6 Additional conditions and restrictions on VAT exemption for personal use

Privileges and immunities are not intended to benefit individuals (privileged persons), but to ensure that they can perform their duties efficiently in the host country (in this case, the Netherlands). In view of this principle, the Inspector of Taxes has exercised their authority to establish further conditions and restrictions relating to the granting of the VAT exemption and has decided to exclude a number of goods from the exemption or restrict the exemption of these goods from VAT. Goods whose purchase confers an individual benefit that overrides the interest of ensuring efficient functioning are excluded from the exemption (either in whole or in part).

Goods on which no VAT can be refunded:

•    aircraft (including parts and other accessories);
•    all boats (such as sailing yachts and motorboats), including parts and other accessories;
•    vehicles intended for recreation, such as trailer tents and caravans (including parts and other accessories);
•    horse trailers and motor vehicles intended for the transport of horses, including parts and other accessories;
•    arms and firearms, including parts and other accessories;
•    all animals other than small pets such as dogs and cats.

This list is not exhaustive. This means that the Tax Administration can exclude other goods from the exemption where the individual benefit would override the interest of ensuring efficient functioning.

Goods on which a limited refund of VAT is granted

A maximum purchase price applies for exemption from VAT on the following goods. The maximum purchase price is €5,000 per individual item including VAT. If the purchase price is more than €5,000 including VAT, the VAT charged on the amount above €5,000 will not be refunded. Please note, the list is not exhaustive:

•    jewellery, watches, handbags, suitcases and similar goods;
•    works of art (such as paintings and sculptures) and similar goods;
•    other moveable property (such as speakers, video cameras, cameras (including accessories), fitness equipment, musical instruments and drones).

Assuming a VAT rate of 21%, the maximum amount of VAT refunded would be €867.77 in these cases.

11.3.1.7 Reporting obligation (official use and personal use)

The VAT exemption is granted conditionally. If the conditions are no longer met, the exemption ceases to apply and the taxes covered by the exemption become payable. The taxes due are calculated on the basis of the current value of the goods in that instance.

The conditions are in any event no longer met if the goods bought under the exemption are sold or given away. The conditions are also no longer met once the privileged person’s employment in the Netherlands ends.

For goods with a purchase price of more than €3,100 (including VAT) and for goods with a purchase price of €3,100 or less that have been used for less than five years, a reporting obligation exists. This obligation must be met before the exemption expires.

11.3.1.8 Refund requirements

The refund will be granted only if the goods or services in question are recorded using form OB100/101, and if the application also includes proof of payment and dated invoices which clearly state: 

•    the name and address of the business that supplied the goods or service; 
•    the name and address of the person to whom the goods or service were supplied; 
•    the date on which the transaction subject to VAT took place;
•    a clear description of the goods or service; 
•    the quantity of the goods supplied; 
•    the amount paid; 
•    the amount of tax due on the supply of goods or services. 

If the Dutch VAT number is stated on the invoice, the VAT has probably been paid in the Netherlands. Team IFB can authenticate a VAT exemption certificate if VAT has been paid in another EU member state (and all conditions have been met). The VAT paid can be reclaimed with the authenticated certificate in another member state (11.3.3 Purchasing outside the Netherlands but within the EU).

N.B.: Additional requirements are applicable when requesting a tax refund for the purchase of motor vehicle fuel and car parts (see section 11.6.3 ‘Car parts (package A only) and 11.6.4 ‘Excise duties and VAT (package A only) on motor vehicle fuel’). 

Proof of payment is a copy of a bank statement showing the following information:

•    the international bank account number (IBAN);
•    the name of the account holder; and
•    the payment.

Transaction detail overviews that do not clearly reflect this information or are known to be editable will not be accepted as proof of payment. 

No refund will be granted for purchases that are paid for wholly or partly in cash or with gift cards due to the absence of proof of payment.

Receipts are not generally considered to be invoices (or proof of payment) because they do not meet the requirements set out above. A receipt will only be accepted instead of an invoice if:

•    the goods are clearly described; and 
•    a copy of a valid bank statement is attached showing the IBAN, the name of the account holder (buyer) and the payment. 

11.3.1.9 Refund procedure (official use and personal use)

The following procedure applies to diplomatic missions and consular posts eligible for exemption from VAT on the purchase of goods and services intended for official use and the purchase of movable goods (except food and beverages) intended for personal use by their staff members. As a rule, exemption from VAT takes the form of a refund of tax paid following the submission of a refund request (form OB100/101).

One form OB100 and/or 101 may be submitted per calendar quarter. Submitting more than one refund request per calendar quarter is not permitted. 

The deadline for submitting a VAT refund request is three months after the end of the calendar quarter in question. Invoices and/or receipts must be dated within the period (calendar quarter) specified on form OB100/101. The invoice date is decisive for determining the correct period. 

Applications for refunds relating to purchases for official use of diplomatic missions and consular posts must be signed by or on behalf of the head of mission. 

Applications for refunds relating to purchases for the personal use of diplomatic staff or consular officers including administrative, technical or service staff members must be signed by the applicant. 

11.3.2 Direct exemption (zero VAT rate) for the supply of goods and services in the Netherlands

In the context of official use, diplomatic missions and consular posts can also be granted advance VAT exemption on goods and services under certain conditions. The amount invoiced must be at least €35,000 (excluding VAT). The advance exemption can also be granted if there is a continuous supply or a rental agreement based on a contract. Advance exemption from VAT can be requested by submitting a certificate and other relevant documents. Team IFB will then assess whether the exemption can be granted.

Certificate 
The certificate is the ‘VAT and/or Excise Duty Exemption Certificate’ (Article 151 of Directive 2006/112/EC and Article 13 of Directive 2008/118/EC). The certificate may be in either Dutch or English. A separate certificate is needed for each purchase. The certificate can be obtained from Team IFB. The diplomatic mission or consular post must submit a written request to Team IFB in advance, together with the following: 
a) the completed certificate; and 
b) a proforma invoice, quotation or contract signed by the parties, proving that the total amount of the taxable supply of goods or services is at least €35,000 (excluding VAT) or that there is a continuous supply or rental of premises for the official use of the diplomatic mission or consular post.

If the application is approved, the certificate will be stamped by Team IFB. The completed and stamped certificate must be submitted to the supplier (before the transaction takes place), who should keep it in their records as proof that no VAT needs to be charged. The supplier may then provide the goods or services free of VAT, applying a 0% VAT rate on the invoice. The certificate can also facilitate exemption from VAT on purchases in other EU member states.

Team IFB can only authenticate original certificates submitted by regular mail. Requests submitted by email cannot be processed. If you have any questions or wish to request any of the relevant forms, please contact Team IFB by sending an email to: IFB.Diplomatieke.Privileges@belastingdienst.nl.

 
11.3.3 Purchasing outside the Netherlands but within the EU

For transactions in other EU member states, a certificate is needed for each transaction in the other EU member state in order to prove to the supplier and to the tax authorities of the state in question that entitlement to exemption from VAT exists. Certificates for VAT exemption can be obtained from Team IFB. 

A request to authenticate a certificate must be submitted (to Team IFB) within three months of the invoice date. The dated invoice and proof of payment (bank statement) must be included with the request. Team IFB will then assess whether the goods (and/or services for official use) are exempt if they were purchased in the Netherlands. The same conditions apply as for VAT refunds granted on the basis of an OB100 form. If the conditions are met, Team IFB will authenticate the certificate. This certificate can be used to claim a refund of taxes paid in the EU member state where the goods were purchased.

Please note that an authenticated certificate will not be issued for taxes paid on the purchase of a motor vehicle.

11.4 Importing goods into the Netherlands

Subject to certain conditions, those eligible for this tax exemption may import goods originating from outside the EU duty-free. Procedures for the import of goods vary according to whether the goods are to be imported for personal or official use and whether the goods originate from outside the EU. 

The exemption from import duties is only granted in advance with an authenticated Customs form Douane 39 (D39). No refund will be granted afterwards.

11.4.1 Import of household effects (for personal use)
People moving to the Netherlands from a non-EU country may import personal household goods without paying import duties, subject to certain conditions. Exemption is granted in advance by Team IFB by means of form D39. All the following conditions must be met in order to be eligible for the tax exemptions on importing personal goods:
• the person concerned has lived outside the European Union for at least 12 consecutive months immediately preceding their relocation;
• the person concerned has owned and used the goods for at least six months prior to moving to the Netherlands;
• the person concerned has used the goods and will be using them again;
• the person concerned is importing the goods within 12 months of taking up employment in the Netherlands;
• the person concerned will not loan, pledge, sell, lease out or transfer the goods within 12 months of the date on which they were imported. 
The following goods are not considered part of household effects and are therefore not eligible for exemption:
• alcoholic beverages or any other item that contains alcohol;
• tobacco and any other item that contains tobacco;
• company vehicles;
• non-portable materials for professional use.

All the conditions set by the tax authorities must be met in order to qualify for exemption from import duties on household effects. 

The Customs website may be consulted in order to obtain further information on this matter (please refer to the general information on Moving to the Netherlands). For more specific information, you may also contact Team IFB by emailing: IFB.Diplomatieke.Privileges@belastingdienst.nl.

11.4.2 Taxes and duties on imported goods originating outside the EU

The procedure
Subject to certain conditions (i.e. official use or personal use by eligible personnel) and restrictions (i.e. quotas), those eligible for this tax exemption may import goods (including alcohol) originating from outside the EU duty-free using form Douane 39 (D39).

The relevant conditions apply to both tax-exempt imports and tax-exempt purchases at a tax
warehouse (accijnsgoederenplaats, AGP). To calculate the quotas, both imports and AGP purchases
will be totalled. 

The application must be made by the head of the diplomatic mission or consular post or their authorised representative. Their name and signature must be recorded at the Protocol
Department in advance. They must complete and sign the forms and forward them to Team IFB.
Team IFB will retain the office copy and, after approval, return the other copies to the applicant.

As a certified/approved form D39 is only valid for 14 days, the goods must reach their
destination within this period. Upon arrival of the goods, the recipient must acknowledge receipt
using the back of the customs copy of form D39. The form must then be signed as approved by
or on behalf of the head of the diplomatic mission or consular post.

NB: Team IFB will only process a new application if the applicant has returned the previous copy. Exempt goods may not be loaned, pledged, hired out, transferred or used in a manner or for purposes not covered by the exemption.

Any application submitted by a diplomatic mission or consular post which does not meet the stipulated conditions and requirements cannot be processed by Team IFB. Please contact Team IFB to request the relevant forms.

For questions concerning form D39 and tax-free importation of goods, please contact Team IFB by
emailing: IFB.Diplomatieke.Privileges@belastingdienst.nl.

11.5 Transfer tax on immovable property (for official use)

Exemption from transfer tax (overdrachtsbelasting) can be granted in respect of the acquisition of immovable property situated in the Netherlands by a foreign state.

If the immovable property is intended to accommodate the diplomatic mission or consular post of that foreign state or its staff members (with the exception of honorary consular officers), the exemption is granted in respect of rights in rem to such property. These include apartment rights and leasehold rights.

Exemptions can only be obtained through the Protocol Department of the Ministry of Foreign Affairs, by sending a Note Verbale and submitting a deed of conveyance. Diplomatic missions and consular posts that approach Team IFB directly to request exemption from transfer tax are redirected to the Protocol Department of the Ministry of Foreign Affairs.

If the application for exemption is received at least six weeks before the date of the property’s transfer, the Ministry of Finance can give the notary concerned permission to apply the zero rate.
Otherwise, the exemption will be granted in the form of a refund. 

In some cases, VAT, rather than transfer tax, is payable on the purchase of official immovable property. Here too, advance exemption may be obtained if a request is submitted to the Protocol
Department at least six weeks in advance. Otherwise, the exemption will be granted in the form of
a refund.

In the case of a refund, the notary invoice and proof of payment (bank account statement) need to be submitted in addition to the abovementioned Note Verbale and deed of conveyance.

11.6 Motor vehicles

11.6.1 Motor vehicle tax (MRB)

Motor vehicles intended for official use by the diplomatic mission or consular post (i.e. official cars)
are exempt from MRB (motorrijtuigenbelasting).

Staff of a diplomatic mission or consular post may be exempted from motor vehicle tax on vehicles
intended for personal use (including use by their dependants). Exemption from motor vehicle tax is
granted on the condition that the vehicles concerned have been issued with special registration
plates (bearing the codes CD, BN or GN); see chapter 12 (‘Cars’). Administrative, technical and
service staff are exempt from motor vehicle tax for 10 years from the date they take up employment in the Netherlands. This 10-year limit does not apply to higher ranking staff with AD status.

11.6.2 Car and motorcycle tax (BPM)

Exemption from BPM (belasting op personenauto's en motorrijwielen) is granted for motor vehicles intended for official use by a diplomatic mission or consular post (official cars) and for personal use by members of a diplomatic mission or consular post. These vehicles must be purchased, paid for and owned by the mission or post or a member of a diplomatic mission or consular post.

Members of a diplomatic mission or consular post may be exempted from taxes on one or two vehicles intended for personal use. Administrative, technical and service staff are exempt for 10 years, starting from the date of employment in the Netherlands. This 10-year limit does not apply to higher ranking staff with AD status.

Exemption from BPM, VAT and (if applicable) customs duties for the purchase of new motor vehicles is always granted in advance with a form D39 on the condition that the vehicle is equipped with CD/BN/GN registration plates. No refund of taxes is granted after the purchase has taken place. 

Taxes paid in connection with motor vehicles that have ordinary (Dutch) registration plates will not be refunded. Taxes paid on the purchase of second-hand motor vehicles are not eligible for refund either.

For both official and personal use, the exemption from BPM, VAT and, if applicable, customs duties,
ends when the motor vehicle is sold, leased, rented, pledged or transferred free of charge or in return for payment. Using or allowing the motor vehicle to be used in a manner or for purposes not covered the exemption is prohibited. The taxes for which the exemption was granted are then due, calculated on the current value of the motor vehicle.

11.6.3 Car parts (Package A only)

If the exemption is granted for the purchase of a motor vehicle, the exemption is also granted for all parts required to operate the motor vehicle. The VAT exemption on the purchase of parts for maintenance or repair of a motor vehicle is only granted if the parts are intended for a motor vehicle with special registration plates. This means the invoices must always include the vehicle’s diplomatic registration number. Otherwise no refund can be granted.

11.6.4 VAT (Package A only) and excise duties on motor vehicle fuel

Exemption from excise duties on motor vehicle fuel is granted in respect of motor vehicles intended
for official use by the diplomatic mission or consular post (i.e. official cars), and for personal use by
eligible staff. This exemption is granted on the basis of reciprocity only for motor vehicles with special registration plates. Administrative, technical and service staff are exempt from excise duties
for 10 years from the date they take up employment in the Netherlands. This 10-year limit does not apply to higher ranking staff with AD status.

The exemption from excise duty (and VAT, if applicable) on motor vehicle fuel is granted in the form of a tax refund. In order to claim this refund, invoices must be submitted containing the vehicle’s diplomatic registration number, the number of litres of fuel purchased, the type of fuel purchased and the date of purchase. It is for this reason that a fuel card must be used. No refunds will be granted on petrol station receipts as these receipts do not meet the abovementioned requirements.

11.7 Energy tax

If exemption from VAT is granted for the supply of natural gas or electricity intended for official use
by a diplomatic mission or consular post, exemption from energy tax and the renewable energy and climate transition surcharge (energiebelasting en opslag duurzame energie- en klimaattransitie) is also granted. If the mission or post is responsible for staff accommodation and the associated costs, these costs will also be considered to be costs relating to official use. Exemption from these taxes can be granted directly on the basis of the VAT Directive 2006/112/EC. A completed exemption certificate stating the contract number and address(es) to which the energy is supplied must be sent to Team IFB. Team IFB will authenticate the certificate and return it to the diplomatic mission or consular post. In order to receive the direct exemption, diplomatic missions or consular posts must provide their supplier with the authenticated certificate. Instead of applying for direct exemption in advance, diplomatic missions also have the option of requesting a refund of taxes already paid. A request can be submitted using form OB100 within three months of the end of the calendar quarter in which the date of the annual/final statement (jaarnota/eindafrekening) falls. The refund of taxes on the supply of natural gas and electricity is only granted on the basis of an annual or final statement and not on the basis of advance invoices (voorschotnota’s).

11.8 Municipal taxes

In the Netherlands, municipal authorities levy both taxes and charges for services rendered. Diplomatic missions and consular posts and their staff members are entitled to exemption from certain municipal taxes, depending on their status. This does not include exemption from charges for services rendered (see the following paragraphs). 

Please note: the Tax Administration (Team IFB) is not authorised to grant exemption from municipal taxes and water authority charges.

11.8.1 Taxes

Exemption is granted only from municipal taxes relating to the official activities of the mission or
post and personal use by staff members including their dependants. The term ‘official activities’
includes providing accommodation for staff. Only staff who are neither Dutch nationals nor considered to be permanent residents of the Netherlands are eligible for exemption. In granting exemptions, account may be taken of reciprocity.
Exemptions can be granted from the following municipal taxes:
• property tax on property owned by the mission or post and the head of mission or head of
post (onroerendezaakbelasting, OZB);
• municipal tax on second homes (forensenbelasting);
• dog licences (hondenbelasting);
• tax for installations on public land or water (precariobelasting).  
If an assessment for municipal taxes is received despite an exemption, an objection can be lodged with the municipality within six weeks of the date of the assessment. The municipality can also be
contacted for any other questions about these taxes. Municipal taxes do not fall under Team IFB’s remit.

11.8.2 Charges for services rendered

It should be noted that no exemptions are granted on charges levied for specific services rendered.
No exemption is therefore granted in respect of the following: administrative charges (leges), water treatment charges (zuiveringsheffing, see paragraph below), betterment levy (baatbelasting), sewerage charges (rioolheffing), waste disposal charges (afvalstoffenheffing) and waste collection charges (reinigingsrechten). An example of a betterment levy is a charge for the construction of a new sewerage system to which the property in question is connected. This is a municipal charge for a specific service rendered.

Water authority charges
These charges consist of:
• Water authority charges paid by the owner of a property (watersysteemheffing eigenaar):
exemption is granted only to diplomatic missions and consular posts and the head of mission or
head of post. No exemption is granted for a second home.
• Water authority charges paid by the occupant (resident) (watersysteemheffing ingezetenen):
exemption is granted to diplomatic missions and consular posts as well as to the head of
mission or head of post, and the diplomatic agents, consular officers, and administrative and
technical staff of diplomatic missions and consular posts, unless they are permanently resident
in the Netherlands or have Dutch nationality.
• Water treatment charges (zuiveringsheffing) have to be paid by everyone residing in a particular
district. Although it is called a ‘levy’ it is a charge – not a tax – for a specific service
rendered. Hence there are no exemptions.

 
11.8.3 Supply of tap water

If a diplomatic mission or consular post is exempted from VAT on the supply of tap water for official use, it is also exempted from tax on tap water (belasting op leidingwater). If the mission or post is responsible for staff accommodation and the associated costs, these costs will also be considered to be costs relating to official use.

The exemption can be granted directly on the basis of the VAT Directive 2006/112/EC (see section 11.3.2, ‘Direct exemption (zero VAT rate) for the supply of goods and services in the Netherlands’). A completed certificate stating the contract number and address(es) to which the tap water is supplied must be sent to Team IFB. If the conditions are met, Team IFB will authenticate the certificate and return it to the diplomatic mission or consular post. In order to receive the direct exemption, diplomatic missions or consular posts must provide their supplier with the authenticated certificate.

Instead of applying for direct exemption in advance, diplomatic missions or consular posts also have the option of requesting a refund of taxes already paid, by submitting an OB100 form. 
The refund of taxes paid on the supply of tap water is only granted on the basis of an annual or final statement (jaarnota/eindafrekening) and not on the basis of advance invoices (voorschotnota’s). The deadline for submitting a refund request is within three months of the end of the calendar quarter in which the date of the annual/final statement falls.