Costs Exempt from VAT

Some costs are not subject to VAT. For example, wage-related taxes you pay to the Dutch tax authorities. Another example is bank fees. If you receive an invoice for costs that do not have VAT then you should indicate that the cost is Exempt from VAT.

Gekko will not calculate VAT for these costs, and they will also be excluded from your VAT report. For VAT return purposes, these receipts are effectively ignored.

Note:

Some hospitality (e.g., restaurant) expenses do include VAT, but you are not allowed to deduct this VAT. You can mark these expenses as “exempt from VAT” as well, although it’s not required. Simply categorizing them under “Food & drinks (hospitality)” is enough for Gekko to exclude any VAT from your return.