The general partnership (VOF) is a popular legal form for entrepreneurs who want to work together. Consider, for example, two freelancers who join forces or partners who start a company together. But what about the taxes at a VOF? Do you pay income tax? Do you have to pay VAT? And how do you divide the profit with your co-partner? In this article I give you a practical explanation about tax paying at a VOF, so that you know where you stand.
How much tax do you pay for a VOF?
The VOF itself is not a taxpayer legal person. That means that the tax authorities do not look at the VOF as a whole, but at the partners separately. The profit that the VOF makes is distributed among the partners. Each partner then pays income tax About his or her share in the profit.
The amount of the tax that you pay therefore depends on:
- The total profit of the VOF,
- how that profit is distributed among the partners,
- And your personal tax situation (such as your tax bracket and entrepreneurial allowance).
As a partner, for example, do you earn € 40,000 from your VOF share? Then you pay income tax on that € 40,000, taking into account any deductible items such as self-employed allowance and SME profit exemption.
Do you pay income tax at a VOF?
Yes, as a partner in a VOF you pay income tax on your share in the profit. The income tax is levied in box 1, because it concerns a profit from business. This means that you can also be entitled to various tax benefits, including:
The exact amount of tax that you pay depends on your total income. The rates in box 1 for 2025 are:
- Up to € 38,440 you pay 35.82% tax
- From € 38,441 to € 76,816 you pay 37.48% tax
- Above that amount you pay 49.5%
Thanks to the entrepreneurial seals, you often pay less tax in practice than someone in paid employment with the same gross income.
Does every partner receive the entrepreneurial deduction posts?
Yes, every partner is entitled to the entrepreneurial deduction items, the starter allowance and the self -employed allowance. An important condition is that every partner must meet the hour criterion to be eligible. So if you both want to use these deductible items, you both have to spend at least 1,225 hours on the company. You cannot divide the hours by 2.
The SME profit exemption is also calculated separately for each partner.
A distribution must only be made with regard to other deductions, think of the small -scale investment allowance (KIA). This can be the distribution as you have determined in your cooperation agreement (for example 50/50).
Do you pay sales tax at a VOF?
Yes, you also have to deal with a VOF sales taxIn other words VAT. The VOF is subject to VAT as a company and must therefore:
- Prepare invoices with VAT,
- Make VAT return (usually per quarter),
- Pay VAT to the Tax Authorities, but also reclaim VAT on business costs.
Note: the VAT is not distributed among the partners. It is the VOF as a whole that submits the VAT return and pays the VAT. This is independent of the profit distribution and income tax.
How should you distribute the tax at a VOF?
The tax is not distributed immediately; It is the profit that you divide. On the basis of that profit distribution, each partner pays his or her own tax.
You agree on the profit distribution together and record it in it VOF contract. This does not automatically have to be 50/50. You can also opt for, for example, 70/30 or another distribution, depending on who enters which part of the work or capital.
A good profit distribution provides clarity and prevents discussions afterwards. Make sure you have this black and white, preferably with the help of a lawyer or notary.
Is a VOF always 50/50?
No, a VOF is certainly not standard 50/50. You are completely free to make agreements about the profit distribution. You record these agreements in the company contract. For example, you can agree on the following divisions:
- Equal on the basis of hours worked,
- Based on resources (such as money, machines, or network),
- Or on the basis of responsibility and role within the company.
Please note: if you do not make agreements about the profit distribution, then the legal regulation of an equal distribution automatically applies. And that can turn out to be detrimental if the deployment or input between the partners differs greatly.
Why is a VOF tax attractive?
A VOF is tax -attractive because of the entrepreneurial seals that you as a partner can use. Think of:
- Self -employed person’s deduction From € 2,470 (2025),
- Starter from € 2,123 if you just started,
- SME profit exemption Of 12.70%.
As a result, as an entrepreneur you often pay less tax than someone in paid employment with a similar income. In addition, you benefit from VAT returns on business costs and you have relatively low incorporation costs, because you do not need a notary.
There is also often a lot of flexibility within a VOF in the profit distribution and cooperation. You can quickly switch, share costs and resources and benefit from each other’s knowledge and network.
Can a VOF pay salary?
A VOF cannot pay a salary as is the case with a BV. Partners are not employees of the VOF, but entrepreneurs. So there is no wage or a payslip.
You get your ‘salary’ from your share in the profit of the VOF. Do you want to withdraw money from the company? Then you book that as a private recording. This has no influence on the profit (and therefore not on income tax), but on your liquidity.
It is smart to pay yourself a fixed amount every month as a private admission, so that you keep a grip on your own finances. Make sure that you leave enough money in the VOF to be able to pay taxes, investments and other current costs.
Summary
Paying taxes at a VOF works differently than at a BV or sole proprietorship. The VOF itself does not pay taxes, but the partners do that separately. You pay income tax on your profit section, make VAT return via the VOF, and together determine how the profit is distributed. A VOF is tax -attractive by entrepreneurial seals, but requires good mutual agreements. Salary in the form of wages is not possible; You get your income from the profit.
Do you want to start with a VOF? Then make sure you have clearly how you distribute the profit, who is responsible for what and that you arrange tax obligations properly. This way you prevent surprises and get the most out of your collaboration.
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