Should You Set Up a ZZP or BV for Your DAFT Visa?
Before you register your business in the Netherlands, you need to make a decision that will shape your taxes, your costs, and your financial life for years. The two options — a ZZP (sole proprietorship) or a BV (private limited company) — look similar on paper but lead to very different outcomes. And once you choose, switching later means losing access to the biggest tax benefit the Netherlands offers expats.
The Two Structures, Briefly
ZZP (Zelfstandige Zonder Personeel) — literally "self-employed without personnel." This is a sole proprietorship, called an eenmanszaak at the KvK (Chamber of Commerce). You are the business. Simple to set up, simple to run, minimal administration.
BV (Besloten Vennootschap) — a Dutch private limited company, roughly equivalent to a US LLC or corporation. The company is a separate legal entity. You're the director and shareholder. More complex to set up, more expensive to maintain, but it unlocks one major advantage.
The 30% Ruling: Why This Decision Matters
The 30% ruling is a Dutch tax benefit for highly skilled migrants coming from abroad. If you qualify, 30% of your gross salary is tax-free for the first five years. On a €80,000 salary, that means roughly €24,000 per year that isn't taxed. Over five years, that's potentially over €100,000 in tax savings.
The catch: the 30% ruling requires an employment relationship. You must be employed by a Dutch company and receive a salary. Under a ZZP, you're self-employed — there's no employer-employee relationship, and you cannot access the 30% ruling.
With a BV, you are both the owner and the employee. Your BV pays you a salary, creating the employment relationship the 30% ruling requires.
This is why the decision is irreversible in practice. If you start with a ZZP and later realize you want the 30% ruling, you can't simply switch to a BV and claim it. The 30% ruling must be applied for within four months of starting employment in the Netherlands. If you set up a ZZP first, that window closes before you could transition to a BV structure.
The Decision Framework
Answer these two questions:
1. Do you expect to earn more than €68,590 per year from your business in 2026?
The 30% ruling has a minimum salary requirement. For 2026, your taxable salary (after the 30% deduction) must be at least €48,013. Working backward, that means your gross annual salary must be at least €68,590 to get the full benefit. If you're under 30 with a verified Master's degree, the threshold drops to €36,497 after deduction (roughly €52,138 gross). If your income will be below these thresholds, the 30% ruling isn't available to you regardless of structure — and the BV's complexity and cost aren't justified by the tax benefit.
2. Have you lived or worked in the Netherlands before?
The 30% ruling requires that you lived more than 150 kilometers from the Dutch border for at least 16 of the 24 months before starting your Dutch employment. If you've already been living in the Netherlands, you likely don't qualify — making the BV's additional complexity unnecessary.
If both answers are YES → the BV + 30% ruling is likely worth the investment.
If either answer is NO → the ZZP is simpler, cheaper, and gives you everything you need for the DAFT visa.
What Each Structure Costs
ZZP (Eenmanszaak)
- KvK registration: €75
- Annual accounting: €1,000-2,000 per year (for a small business with limited transactions)
- Setup time: Same day at KvK
- Tax filing: Annual income tax return (IB-aangifte), quarterly VAT returns if applicable
- Personal liability: Unlimited — your personal assets are not separated from business debts
BV
- Formation: €500-2,000 (notary required to establish the articles of association)
- Annual accounting: €2,000-4,000 per year (BV accounting is more complex — corporate tax return, payroll administration, annual accounts)
- Setup time: 1-3 weeks (notary appointment, share capital deposit, KvK registration)
- Tax filing: Corporate tax return (Vpb), payroll tax (for your salary), personal income tax, VAT
- Personal liability: Limited — the BV is a separate legal entity, so personal assets are generally protected from business debts
The BV costs roughly €1,000-2,000 more per year to maintain. If the 30% ruling saves you €15,000-25,000 per year in taxes, the math is obvious. If you don't qualify for the ruling, you're paying extra for complexity you don't need.
Additional Benefits of the 30% Ruling (Beyond the Tax Break)
If you qualify for the 30% ruling through your BV, you also get:
- Relocation cost deduction: Up to €7,750 (2026) in relocation expenses can be treated as tax-free business costs.
- International school fees: Schooling costs for your children at an international school can be expensed through the BV as business costs.
- Driver's license swap: You can exchange your US driver's license for a Dutch one without taking the Dutch driving test. Without the 30% ruling, you must take (and pass) both a theory and practical driving exam. In Dutch.
That last one is not trivial. The Dutch driving exam has a roughly 50% pass rate, costs several hundred euros per attempt, and often requires professional driving lessons (at €50-70 per hour) to prepare. The license swap alone can save you thousands of euros and considerable frustration.
The ZZP Tax Benefits
The ZZP isn't without its own advantages. As a sole proprietor, you can access several Dutch tax deductions that BV directors cannot:
- Zelfstandigenaftrek (Self-employed deduction): A fixed deduction of approximately €3,750 (2026) from your taxable profit.
- Startersaftrek (Starter's deduction): An additional deduction of approximately €2,123 in your first three years of business.
- MKB-winstvrijstelling (SME profit exemption): 12.7% of your remaining profit after deductions is exempt from income tax.
These deductions can meaningfully reduce your tax burden at lower income levels. For someone earning €40,000-50,000 per year, the ZZP deductions may be more valuable than the 30% ruling you can't access.
What Happens to the 30% Ruling Over Time
The 30% ruling is being scaled back. Starting in 2024, the benefit was reduced for new applicants:
- Years 1-2: 30% of salary is tax-free
- From 2027 onward (for those who started from January 1, 2024): The tax-free percentage drops to 27%
There's also a cap: the maximum untaxed allowance is €78,600 in 2026. You hit this cap at a salary of approximately €262,000 — not relevant for most DAFT holders, but worth knowing.
Despite the scaling back, the 30% ruling remains one of the most generous expat tax benefits in Europe. Even at 27%, the savings are substantial for anyone earning above the threshold.
Making the Decision: A Worked Example
Scenario A — Sofia, freelance UX designer, earning €45,000/year
Sofia's income is well below the €69,000 threshold. The 30% ruling isn't available to her. A ZZP is the clear choice: lower setup costs, simpler administration, and access to the self-employed deductions that will meaningfully reduce her tax bill. Total first-year cost to set up and maintain: roughly €1,075-2,075.
Scenario B — Marcus, software consultant, earning €95,000/year
Marcus exceeds the €69,000 threshold and has never lived in the Netherlands. He sets up a BV before arrival, establishes an employment contract with himself, and applies for the 30% ruling within four months. His first-year setup costs are higher (roughly €2,500-6,000 including notary and accounting), but the 30% ruling saves him approximately €12,000-15,000 per year in taxes. Over five years, that's €60,000-75,000 in savings — minus roughly €10,000 in additional BV maintenance costs. Net benefit: roughly €50,000-65,000.
Timing Matters
If you're going the BV + 30% ruling route, the BV should ideally be set up before you arrive in the Netherlands. You need:
- A BV formed with a Dutch notary (can be initiated remotely)
- An employment contract between you and your BV
- The 30% ruling application submitted within four months of your start date
Some DAFT applicants set up the BV before arrival, arrive on their 90-day visa-free Schengen entry, submit the IND application, and apply for the 30% ruling — all in a coordinated sequence. Getting the order wrong (arriving first, setting up a ZZP, then trying to switch) costs you the ruling permanently.
If you're going the ZZP route, timing is simpler. You can register at KvK after arrival, during your IND application process.
FAQ
Can I start with a ZZP and convert to a BV later?
You can convert the business structure, but you cannot retroactively claim the 30% ruling. The ruling must be applied for within four months of starting Dutch employment. If you start with a ZZP, that employment start date never happens — and when you later create a BV, the IND and Belastingdienst don't treat it as a "fresh start" for 30% ruling purposes.
What if my income varies year to year?
The €69,000 threshold applies to your salary from the BV, not your total business revenue. In a BV, you set your own salary — but it must be "customary" (at least a director's minimum, roughly €56,000 in 2026 for directors with a substantial interest). If your business revenue drops and you can't maintain the minimum salary, you could lose the 30% ruling for that period.
Do I need a Dutch accountant from day one?
For the DAFT visa, your opening balance sheet must be prepared by an accountant with a BECON number — so yes, you need one at setup. Finding a BECON-registered accountant who speaks English and understands DAFT is not difficult in Amsterdam, Rotterdam, or The Hague, but book early. Expect to pay €200-400 for the opening balance alone.
My spouse is coming with me. Does the structure affect their work rights?
No. Regardless of whether you set up a ZZP or BV, your spouse receives a family member residence permit with full work rights — they can work for any Dutch employer or start their own business. Your business structure doesn't affect their permit. For more on this, see our guide to DAFT spouse work rights.
Disclaimer: This guide is for informational purposes only and does not constitute legal, tax, or immigration advice. Tax rules, thresholds, and the 30% ruling are subject to change. Always consult a Dutch tax advisor and immigration lawyer for advice specific to your situation. Last verified: March 28, 2026.
