A vet charges 21% VAT on consultations, operations and other treatments. The VAT exemption for medical care only applies to health care for people. Veterinary medicines you hand over or sell to the owner fall under the 9% rate.
A medicine you administer yourself during treatment is different. The Tax Administration sees that as a combination of goods and services, and then 21% applies. So the difference lies in whether the medicine leaves the practice or goes into the animal while you treat it.
In short
- Treatments by the vet are taxed at 21%. The exemption in article 11 of the VAT Act only mentions care for people.
- Veterinary medicines for use on the animal fall under 9%. If you administer the medicine yourself during the treatment, it is 21%. Products for laboratory use or for the animal's surroundings are 21%.
- A lower rate is not coming for now. According to the government, the European VAT Directive does not allow a zero rate, and the motion to argue for a cut in Europe was rejected on 30 June 2026.
In this article
Why does a vet charge 21% VAT and a GP does not?
Because the exemption for medical care only concerns people. The act exempts services in the field of health care for people by practitioners of a medical or paramedical profession (VAT Act 1968, article 11(1)(g)). A vet does not fall under that, so the general rate of 21% applies.
The Netherlands cannot change that on its own. The government writes that under the European VAT Directive it is not allowed to apply a zero rate to veterinary services (Parliamentary paper 32 140, no. 311, 16 June 2026).
The advantage of being taxable: you may deduct the VAT on your purchases. Think of equipment, the renovation of the practice and the purchase of medicines (VAT Act 1968, article 15). An exempt human care practice cannot do that.
Which products fall under 9% VAT?
Veterinary medicines as defined in the Animals Act, except products for use outside the animal. They are listed in table I of the act, the list of goods at the reduced rate (VAT Act 1968, table I, item a.7).
The Tax Administration explains that 9% applies to veterinary medicines used 'in vivo', so on the animal itself. Under 21% fall products applied to tissue or body fluids to make a diagnosis, products used in the animal's living environment, and raw materials for preparing veterinary medicines (Tax Administration, VAT rate on veterinary medicines).
Medicines are a large part of turnover. According to a survey of independent practices cited by the ACM, a fifth of turnover comes from medicine sales (ACM, market study on medical care for pets, 2026). So a mistake in the rate quickly affects many lines in your records.
Medicine administered or handed over: which rate do you charge?
If you administer the medicine yourself when treating a sick animal, you charge 21%. If you sell the medicine for further treatment at home or on the farm, you charge 9%. That is how the Tax Administration puts it: administering during treatment is a combination of goods and services, and 21% applies to it (Tax Administration, VAT rate on veterinary medicines).
The same split appears in the rules for veterinary medicines themselves. RVO distinguishes the vet who administers a medicine once themselves from the vet who hands out medicines from the practice stock. When handing out, the prescription requirements of the European regulation apply (RVO, newsletter on the veterinary prescription, 7 April 2026). So your practice software often already knows that difference.
If you cannot split the turnover properly, for example with a fixed price for a treatment including aftercare medicines, the Tax Administration mentions a way out: contact your tax office for a practical arrangement (Tax Administration, VAT rate on veterinary medicines). Record that arrangement in writing.
How do you put two rates on one invoice?
Put the treatment, the administered medicine and the medicines handed over on separate lines, each with its rate. Add up the VAT per rate. An example with invented amounts: consultation € 60, an injection you administer € 25, and tablets for two weeks at home € 40, all excluding VAT.
In this example, € 85 is taxed at 21%, which is € 17.85 VAT, and € 40 at 9%, which is € 3.60 VAT. The customer pays € 146.45. Had you charged the administered injection at 9%, you would have paid € 3 too little VAT. Over a year with thousands of treatments, such a mistake adds up.
This also plays a role at the till with over-the-counter products. How a till system correctly handles two rates on one receipt is covered in a separate article (9% and 21% on one till receipt).
Who bears the VAT: the private owner or the farmer?
For a private pet owner, VAT is a real cost. They cannot reclaim it. According to the ACM, most owners pay the costs themselves, without insurance. Those who are insured pay the bill themselves first and then claim it from the insurer (ACM, 2026, section 2.3).
That also means your practice has no insurer as a debtor. The ACM writes that insurers make no agreements with practices about care or prices. Your debtor is the owner, and the VAT is in the amount they see at the desk or on the invoice.
A livestock farmer or equestrian business that is itself an entrepreneur can usually deduct the VAT on your invoice if it keeps the animals for taxable business activities (VAT Act 1968, article 15). For that customer the rate weighs less. Your invoice must then meet all requirements, with VAT shown separately per rate, otherwise the customer cannot deduct the VAT.
Is a lower VAT rate for animal care coming?
No, not for now. The government asked other EU countries whether there is support for a lower rate or a zero rate on veterinary services. The eighteen countries that responded all had no interest in it (Parliamentary paper 32 140, no. 311).
A motion asking the government to work in Europe for lower VAT on veterinary care was rejected by the House of Representatives on 30 June 2026 (Parliamentary paper 36 812, no. 132, vote of 30 June 2026).
Whether a lower rate would lower the price for the customer is also a question. The government points to an evaluation showing that a lower VAT rate is generally not an efficient tool for lowering prices structurally, partly because businesses do not have to pass on a cut (Parliamentary paper 32 140, no. 311).
Research on a Dutch cut for another service shows a different picture. When VAT on hairdressing fell from 17.5% to 6% in 2000, the cut was passed on almost fully in lower prices. There were no more haircuts or jobs as a result (Jongen, Lejour & Massenz, 2018). That concerns hairdressers, not vets. It does show that the outcome can differ by service.
Sources
- Turnover Tax Act 1968, articles 9, 11 and 15 and table I, item a.7, in force from 1 January 2026. wetten.overheid.nl
- Tax Administration, VAT rate on veterinary medicines, read 1 November 2026 (in Dutch). belastingdienst.nl
- State Secretary for Finance, Letter on VAT on veterinary care, Parliamentary paper 32 140, no. 311, 16 June 2026 (in Dutch). officielebekendmakingen.nl
- Amended motion by member Teunissen et al., Parliamentary paper 36 812, no. 132 (in Dutch). officielebekendmakingen.nl
- House of Representatives, plenary record of the 88th sitting, vote on the motion, 30 June 2026 (in Dutch). tweedekamer.nl
- RVO, Newsletter 1, The veterinary prescription, version of 7 April 2026 (in Dutch). rvo.nl
- Netherlands Authority for Consumers and Markets, Market study on medical care for pets, 30 April 2026 (in Dutch). acm.nl
- Jongen, E., Lejour, A. & Massenz, G. (2018). Cheaper and more haircuts after VAT cut? Evidence from the Netherlands. De Economist, 166(2), 135-154. doi.org