What counts as a “business meal”?

A meal is business if there’s a clear business purpose—for example:

• Meeting a client, supplier, or partner

• Networking where new business is realistic

• A team meal tied to a project milestone

Purely social bites (or your solo late-night pizza) don’t qualify.

Tip: Tips (gratuities) paid with the meal are part of the business cost. Belastingdienst

How much can you deduct?

Business meals fall under representation costs (a type of “partially deductible” cost). In 2025, the rules are:

If you file Income Tax (sole proprietors/VOF, etc.)

You can choose one of these methods each year:

1. Threshold method
   The first €5,700 of representation costs is not deductible; everything above that is. Belastingdienst+1

2. 80% method
   Deduct 80% of your total representation costs (no threshold math needed). Belastingdienst

Quick rule of thumb: the break-even point between the two is when 20% of your total equals €5,700 → €28,500.

• Below ~€28.5k in yearly representation costs? 80% method is usually best.

• Far above that? The threshold method often wins.

If you file Corporate Tax (Vpb) (e.g., B.V./N.V.)

You generally deduct a fixed 73.5% of these costs (instead of 80%). Some Vpb filers also face a threshold of €5,700—or 0.4% of the wage bill if higher—so it’s worth comparing for your situation. business.gov.nl+2Belastingdienst+2

BTW (VAT) on meals: what’s the deal?

• Meals consumed in restaurants/hospitality (horeca): VAT is not deductible (unless you re-invoice the meal as such to a third party). Belastingdienst+2Belastingdienst+2

• Groceries/takeaway for a business meeting at your office: VAT may be deductible, but staff-benefit rules can apply (e.g., cafeteria/€227 rules). Keep documentation tidy. Belastingdienst

Real-world examples

1. Client dinner at a restaurant — IB (80% method)
   Total bill (incl. tip & VAT): €120

• Profit deduction: 80% × €120 = €96

• VAT: not deductible (horeca). Belastingdienst

2. Team lunch—Vpb
   Total spend: €10,000 (year)

• Profit deduction: 73.5% × €10,000 = €7,350

• Compare with any applicable threshold/0.4% wage-bill rule at year-end. business.gov.nl+1

3. Which method should I pick (IB)?
   If your annual representation costs are €20,000:

• 80% method → €16,000 deductible

• Threshold method → €20,000 − €5,700 = €14,300 deductible
  → 80% wins here. Breakeven is ~€28,500. Belastingdienst

What to keep (so you’re audit-proof)

• Receipt/invoice (with VAT details)

• Who you met and why (write it on the receipt or in your system)

• Where it happened (office vs. restaurant matters for VAT)

How Conta AI makes this effortless

• Smart categorisation: Conta AI auto-tags meal receipts as representation and knows when tips are included. Belastingdienst

• Method optimiser: At year-end, Conta AI compares 80% vs. threshold (and 73.5%/threshold for Vpb) and applies the best outcome automatically—so you don’t leave money on the table. Belastingdienst+1

• VAT logic built-in: We apply the no-VAT-on-horeca rule by default and flag edge cases (like office catering or staff benefits) so your filings stay clean. Belastingdienst+1

Key takeaways

• Business meals are partially deductible; the exact percentage depends on your tax type and chosen method. Belastingdienst

• 2025 threshold: €5,700 (IB). IB: choose 80% or threshold; Vpb: typically 73.5% (compare with threshold/0.4% wage-bill rule). Belastingdienst+1

• VAT on restaurant meals is not deductible. Office groceries/takeaway can be different—document everything. Belastingdienst