One-man businesses will receive new VAT numbers

26 February 2019

By the end of 2019, all owners of one-man businesses will receive a new VAT number. This should solve the significant privacy and identity fraud issues currently surrounding this number. It is estimated that about 1.3 million entrepreneurs will start working with a new VAT number.

Current VAT number sensitive to identity fraud

VAT numbers of one-man businesses are relatively easy to use for fraud. The reason for this is that the Tax Authority, the party distributing these numbers, adds the citizen service number (BSN) of the entrepreneur to them. Since VAT numbers are publicly accessible and each entrepreneur is required to state it on their website, this facilitates identity fraud. That is why the Dutch Data Protection Authority has ordered the Tax Authority to find an alternative for this.

The citizen service number will no longer be used in the new VAT numbers. That way, the privacy of entrepreneurs will be protected. By 1 January, 2020, every one-man business is required to use a new VAT number. These will be assigned over the course of 2019.

New Direct Representation one-man businesses

Does Ritra Cargo organise your transports? In that case, you signed a Direct Representation (DR) for this. Since your VAT number is required for the commercial activities you perform, it is included on the DR. Because this number is going to change, we will need a new DR from you. Your Ritra Cargo contact will contact you about this in a timely fashion.

Other effects

Of course, the change in VAT number will have other effects for you as a one-man business. For example, you will have to adjust the number in your own administration and printed materials. For all information regarding the new VAT number for one-man businesses, please refer to the Chamber of Commerce.