The business side of sex work

Everyone in the Netherlands who has an income, has to pay income tax. So it is recommended to keep a monthly overview of your income and expenses.
You can work in a salaried position, as self-employed or via opting-in. On the site prostitutiegoedgeregeld.nl you will find a useful overview of the differences between these options.

You don’t have to register with the Belastingdienst separately. When you register with the Kamer van Koophandel you will automatically be registered with the Belastingdienst. You will get a BTW (Value added tax) number. If you do not hear anything from the Belastingdienst, it is sensible to get in touch with them. You will receive a letter that will state when you have to do your BTW tax return.

The BTW tax return (income tax) must be returned to the Belastingdienst within a month after the end of the tax period. Payment of tax must also be done in the same timeframe.

• If a business owner files or pays their tax return late, they risk a fine or a correction payment. This is an estimation of the amount of tax the business owner will have to pay.
• The Belastingdienst has a duty of confidentiality in regards to everything you tell them or write to them. Website: www.belastingdienst.nl. You have to be able to prove to the Belastingdienst that you keep (daily) records of your income and expenses. This is why it is useful to have a ledger.

When you are self-employed, for example if you work in a window or on the street, you are required to register with the Kamer van Koophandel. For this, you need to be registered with your local municipality. This can be done with an address in the Netherlands, or a foreign address.

• For registration with the Kamer van Koophandel, you need the following: a valid form of ID and a filled out registration form to be self-employed as provided by the Kamer van Koophandel.
• The Kamer van Koophandel has a register. Details in this register are accessible by the public. When you use a name your clients know as your business name, they will be able to find your details. Keep this in mind when you select a business name to register under.
• You can find the required forms on the website for the Kamer van Koophandel.

You can also be salaried or working via Opting-in (for example in a club, private house or an escort service). If you are salaried, your employer will calculate and pay tax on your wages.

Opting-in is also known as ‘working according to the terms and conditions’. Most operators work with this system. The operator pays tax on your income. You are not salaried but will get an income overview that states your income and taxes as paid by your operator. In this instance you would have to file a yearly tax return.

When working via Opting-in you have no protection against dismissal. An operator can stop working with you without notice. The Belastingdienst and the UWV do not regard you as employed, or as self-employed, meaning you won’t have a right to unemployment benefits.

To work via Opting-in you need a registered address and a Burgerservicenummer (BSN).

If you live or work in the Netherlands you are required by law to insure yourself against healthcare costs via health insurance.

If you do not pay for six or more months of your health insurance premium you will be registered with the CAK for the Regeling wanbetalers (arrangement for overdue non-payers). You will pay the CAK a premium, which is €135,- per person per month. You will no longer pay your insurance company, but will remain insured via them. This payment does not clear your debt with your insurance company, you will have to pay that off yourself.

Depending on your income, you could be eligible for health care allowance. You can do a calculation to see if you are eligible. To apply for health care allowance, you require a DigiD. Apply for a DigiD on their website.