Depreciating a Business Premises (bedrijfspand) as a ZZP Entrepreneur in the Netherlands (2026)

When can a ZZP depreciate an owned business premises (bedrijfspand) in the Netherlands in 2026?

A ZZP entrepreneur can depreciate (afschrijven) an owned business premises only if the building (or the business part of the building) is treated as a business asset on the income tax balance sheet. If business use is 10% or less, the asset is mandatory private. If business use is 90% or more, the asset is mandatory business. Between 10% and 90% is a choice, but the choice should be consistent.

Depreciation applies only to the part of an owned building that is used for the business. Browse the [Knowledge Hub](/knowledge-hub) for more freelancer accounting guides. For VAT filing context, see the [VAT returns guide](/knowledge-hub/vat-returns-netherlands-expat-freelancer-guide) and for common write-offs, see the [deductible expenses guide](/knowledge-hub/deductible-expenses-freelancers-netherlands).

If the ZZP entrepreneur rents a workspace, the rent is normally a deductible cost, but rent is not depreciated because the ZZP entrepreneur does not own the building. If the ZZP entrepreneur owns a mixed-use property, depreciation is based on the business-use part that is brought into the business balance sheet, not the private part.

• Confirm the ZZP entrepreneur owns the building (not a rental contract).
• Decide whether the building is private, business, or a choice asset using the 10% / 90% rules.
• Determine the percentage of floor area or time used for business (use one method consistently).
• Put the business part of the building on the balance sheet at acquisition value.
• Separate land value from building value before calculating depreciation.
• Keep the WOZ decision (WOZ-beschikking) and purchase documents as evidence.

What costs are included in the acquisition value, and why can’t you depreciate land?

The acquisition value for a business premises is the purchase price plus purchase-related costs that belong to the building, such as notary fees and broker fees. Transfer tax (overdrachtsbelasting) and non-deductible VAT can also be part of the acquisition value. Land is excluded from depreciation: a ZZP entrepreneur may not depreciate the land portion, only the building portion, because land does not wear out through use in the same way.

The Dutch Tax Administration treats the acquisition value as the base for depreciation. If the ZZP entrepreneur can reclaim VAT as input VAT, the ZZP entrepreneur records the investment excluding VAT. If the ZZP entrepreneur cannot reclaim VAT, the ZZP entrepreneur records the investment including VAT. The VAT treatment applies to the building and to purchase-related costs that form part of the acquisition value.

To avoid over-depreciation, the ZZP entrepreneur must split the total price into a building part and a land part. The split is often based on a valuation report, purchase allocation, or municipal valuation information. Depreciation is calculated only on the building part after deducting land value and the expected residual value at the end of the useful life.

• Purchase price for the property (allocate between building and land).
• Notary fees (notariskosten) and broker fees (makelaarskosten).
• Transfer tax (overdrachtsbelasting), if no exemption applies.
• Non-deductible VAT on the purchase or on fees (if VAT cannot be reclaimed).
• Costs to bring the building into use (for example, necessary installation work).
• Valuation or allocation document that supports the building-versus-land split.

How do you calculate annual depreciation, and what is the WOZ floor value (bodemwaarde) in 2026?

Annual depreciation is (A - G - R) / D: acquisition value (A) minus land value (G) minus residual value (R), divided by useful life (D). For buildings, a useful life of 30 to 50 years is common. Depreciation stops at the floor value (bodemwaarde): in 2026 the floor value is the WOZ value for all business premises, with a transition rule for certain own-use buildings put into use before 1 January 2024.

The ZZP entrepreneur may depreciate only while the book value is higher than the floor value, and the annual depreciation may not exceed the difference between book value and floor value. The WOZ value is determined using a value date of 1 January of the previous year and is usually issued around the end of February in the WOZ decision from the municipality.

For income tax, the floor value for all business premises is the WOZ value from 2024 onward. For a building in own use that was put into use before 1 January 2024, and that has been depreciated for less than 3 years, the ZZP entrepreneur may still use 50% of the WOZ value as the floor value until 3 years after the start of use.

How does mixed business/private use affect depreciation and deductions?

If a building is used partly for business and partly privately, the ZZP entrepreneur depreciates only the part that is used for the business and is included in business assets. The 10% / 90% rules matter: 10% or less business use means mandatory private, 90% or more business use means mandatory business, and 10%–90% gives a choice. The choice affects depreciation, future taxable gains, and which costs are deductible.

A consistent business-use percentage is essential because depreciation is calculated on the business part of the acquisition value. Many ZZP entrepreneurs use floor area (m²) as the allocation key for a property, because floor area can be documented with a floor plan. A time-based method can work for shared spaces, but the ZZP entrepreneur should be able to explain the calculation.

If the ZZP entrepreneur brings only part of the building into the business balance sheet, the ZZP entrepreneur depreciates only that part and deducts only the business part of running costs. The private part stays outside business profit and is not depreciated in business accounts.

• Pick one allocation key (floor area or time) and document it once per year.
• Keep evidence: floor plan, lease plan, photos, or a written workspace description.
• Apply the same business-use percentage to running costs that are mixed (energy, insurance).
• Depreciate only the business part of the building value, not the private part.
• Revisit the classification if business use crosses 10% or 90% for a sustained period.
• If the building is fully business (100% use), place 100% on the balance sheet and depreciate the full building part.

Are renovations a deductible expense or a capital improvement you must depreciate?

Maintenance that keeps a building in its current condition is usually deductible in the year the ZZP entrepreneur pays it. A renovation that makes the building more suitable for business use, extends the useful life, or materially changes the building is usually an improvement that is added to the building’s balance sheet value. The ZZP entrepreneur then depreciates that added value over the remaining useful life.

The Dutch Tax Administration distinguishes improvements from maintenance in the context of investment rules: improvement costs are made to make an existing asset more suitable for business use, while maintenance costs are generally not improvement costs. The improvement-versus-maintenance distinction helps decide whether a cost is expensed immediately or capitalised and depreciated.

When a renovation cost is capitalised, the ZZP entrepreneur increases the acquisition value of the building (or the business part) and recalculates future depreciation, still respecting the WOZ floor value. When a cost is maintenance, the ZZP entrepreneur deducts the business portion as a normal expense, using the same business-use percentage as for the building.

• Classify the work first: maintenance (expense) versus improvement (capitalise).
• Keep invoices that describe the work and show dates and addresses.
• For improvements, add the cost to the building’s business balance sheet value.
• For maintenance, deduct only the business-use part (for example 40%).
• Check whether the improvement cost can be part of an investment scheme when conditions are met.
• Update the depreciation schedule after any capitalised improvement.

What happens if you sell a business premises that you have depreciated?

When a ZZP entrepreneur sells a depreciated business premises, the taxable result is usually based on sale proceeds minus book value (purchase cost minus depreciation). A book profit is part of business profit unless it is placed in a reinvestment reserve (herinvesteringsreserve) with a documented reinvestment intention at the balance sheet date. The reinvestment reserve falls back into profit if no reinvestment is made within 3 years after the year the reserve was formed.

If the ZZP entrepreneur sells the building within 5 years after an investment deduction was applied for related qualifying investments, the ZZP entrepreneur may have to add back part of that deduction through a disinvestment addition (desinvesteringsbijtelling). The 5-year test starts at the beginning of the calendar year in which the investment was made.

To avoid surprises, the ZZP entrepreneur should calculate the book value before signing the purchase agreement and decide whether a reinvestment reserve is realistic. The reinvestment reserve can be extended only in specific situations when a longer period is required or special circumstances delay the reinvestment and the implementation has started.

• Calculate book value on the sale date (acquisition value minus depreciation).
• Calculate book profit or loss (sale proceeds minus book value).
• Decide whether a reinvestment reserve is possible and document reinvestment intention at the balance sheet date.
• Track the 3-year deadline for reinvestment after forming a reinvestment reserve.
• Check whether a 5-year disinvestment rule applies if an investment deduction was used.
• Keep the sale contract, settlement statement, and any valuation supporting the price split.

What records should a ZZP keep for building depreciation and WOZ-based limits?

A ZZP entrepreneur should keep evidence that supports (1) ownership, (2) the building-versus-land split, (3) the depreciation schedule, and (4) the WOZ value used as the floor value. The standard retention period for business administration is 7 years, but records about immovable property (onroerende zaken), such as a business premises, should be kept for 10 years. Keeping the full file helps defend deductions during audits years later.

The Dutch Tax Administration requires a 7-year retention period for business administration, and a 10-year retention period for records about immovable property and rights in immovable property. The retention rule applies whether the ZZP entrepreneur keeps records on paper or digitally, and the ZZP entrepreneur must keep data in a form that can be checked.

Because the WOZ value is reissued annually and uses a valuation date of 1 January of the previous year, the ZZP entrepreneur should store each year’s WOZ decision together with the depreciation calculation for that year. The municipality usually issues the WOZ decision around the end of February, and the WOZ decision is typically valid for 1 year.

• Purchase deed, notary invoice, broker invoice, and transfer tax documents.
• Allocation evidence for land versus building (valuation report or documented split).
• Annual depreciation schedule showing A, G, R, D and the calculated amount.
• WOZ decision (WOZ-beschikking) for each year used to determine the floor value.
• Invoices for renovations, clearly marked as maintenance or improvement.
• Digital backups that keep files readable during the 7-year or 10-year retention period.