Eherkenning for Dutch companies
E-recognition is neccesary
Do you own a Dutch company, and therefore obliged to deal with the Dutch Tax Authorities on a structural basis? Then having E-recognition (eHerkenning in Dutch) is becoming a must. Due to the new rules regarding the ultimate beneficiary owner (UBO) of any Dutch company, it is necessary for every company owner to be able to identify themselves. Intercompany Solutions can request a E-recognition for your company.
What is E-recognition?
E-recognition is similar to DigiD, but for companies. Both are digital ways of identification. With DigiD, you can show who you are when you are doing something online. This can be tied to various organizations, such as the government, education and/or healthcare. With E-recognition, entrepreneurs can securely log in to access online government services. In addition to security, E-recognition provides convenience as you only need one password to log in to government organizations.
When does someone require E-recognition?
You need E-recognition if you own a Dutch company, such as a BV. This is necessary if you want to log in to the Dutch tax authorities, for example for your VAT return, payroll tax return or corporate income tax return. Or on the Customs portal for your excise and consumption tax returns. The Dutch Data Protection Authority has indicated which requirements apply to the processing of this type of information. E-recognition offers safe and reliable online access to governmental services. You will also need E-recognition to log in to several European customs portals. You use these portals to apply for certain customs permits and binding tariff information.
Security levels of E-recognition
To log in to these portals, you need to have E-recognition with a minimum safety level 3 (EH3). The type and level you require differs per portal, but in general, level 3 is the most widely accepted level. If you already have E-recognition, but of level 1 or 2, you can adjust your level in a few simple steps. The higher the level, the more strictly your identity is checked. E-recognition has 4 safety levels: EH2, EH2+, EH3 and EH4. The service provider you log in to essentially determines the level of reliability of its online services. The higher the level of reliability, the more secure and reliable the access and the more certainty a service provider gets about who he is doing business with. E-recognition at a higher level offers more control steps when issuing an E-recognition tool, plus you are able to log in with 2-factor authentication.
Why is E-recognition important for your company?
E-recognition is important for the following actions:
- Communication with the Dutch Tax Authorities
- Communication with or a possible licensing request from the Dutch Chamber of Commerce
- Registering your bank account at the Dutch Tax Authorities
- Depositing your Annual Report to the Dutch Chamber of Commerce.
- OSS Declaration
What do you need to request E-recognition?
To be able to apply for E-recognition, you must be registered in the Trade Register of the Dutch Chamber of Commerce. If you have a Dutch accountant or tax service provider, you do not have to apply for e-recognition yourself. You must give your accountant permission to arrange things for you. This is done with a so-called chain authorization. Your tax service provider knows how this works. You can apply for E-recognition directly via Intercompany Solutions, feel free to contact us for more information and a quote anytime.
Intercompany Solutions can also apply for the UBO registration on your behalf.