Bookkeeping for the self-employed roofer: VAT, materials and extra work
Written by Ilias Aarrass7 min read · Published on · Last reviewed on 
In short
A roofer charges 21 per cent VAT as a rule, 9 per cent on labour for roof insulation on homes older than two years and 0 per cent for solar panels on a home; as a subcontractor you reverse-charge.
- With insulation work only your labour falls under 9 per cent; the material stays at 21 per cent.
- You may only charge for extra work if you warned the client about the higher price in advance.
- Tools above € 450 excluding VAT are capitalised; above € 2,900 of investments a year you get the investment deduction.
- If a roof runs past 31 December, the completed part counts as work in progress in your profit.
A roof is rarely one job. You replace the covering, insulate while you are at it, fit a roof window and add panels for the same client. For tax there are three different VAT rates in that, and if you work as a subcontractor for a builder there is no VAT on your invoice at all. On top of that, roofing overruns: weather, surprises under the covering and extra work you agreed nothing about in advance. This article lists the rates, shows how to pass materials on and how to stop extra work eating your margin.
Three rates on one roof
The main rule is 21 per cent: replacing roof covering, fitting a dormer, lead and zinc work, repairs after a leak. If you insulate the roof of a home older than two years, your labour falls under 9 per cent. The insulation material itself stays at 21 per cent, so you put those two on separate lines.
If you supply and install solar panels on or at a home, the zero rate has applied since 2023. You charge no VAT, but you still deduct the VAT on your purchase of those panels. For integrated panels on a new-build home, 21 per cent applies. And if you work as a subcontractor for a main contractor, you reverse-charge the VAT: no amount on your invoice, just the statement that VAT is reverse-charged plus their VAT number. See reverse-charged VAT in construction.
| Work | Rate |
|---|---|
| Replacing covering, repairs, lead and zinc work | 21% |
| Insulating the roof of a home older than 2 years, labour | 9% |
| Insulation material, roof sheets, tiles, timber | 21% |
| Supplying and fitting solar panels on a home | 0% |
| Subcontracted work for a builder | Reverse-charged |
Materials, scaffolding and tools
Material you buy and pass on is both a purchase and revenue: you deduct the VAT on the purchase invoice and charge VAT on what you invoice the client, margin included. Do make sure the invoice is in your business name; an anonymous till receipt above € 100 including VAT gives no right to deduct. See purchase invoices and VAT deduction and passing costs on to your client.
Scaffolding or a cherry picker is usually hired per job: that rent is simply deductible in the year itself. If you buy your own mobile tower, fall protection or burner equipment, the € 450 excluding VAT limit applies: above it you capitalise and depreciate. If you pass € 2,900 of investments in a year, the investment deduction adds relief. The rules are in capitalise or deduct at once.
Your van is almost always a commercial vehicle. Put it on the business and fuel, insurance, maintenance and depreciation are deductible, but you face an addition to income as soon as you also drive it privately. Stay under 500 private kilometres a year and prove it with a complete trip log, and that addition lapses. See commercial vehicles and keeping a mileage log.
Extra work: the roof is never what you expected
You strip the old covering and find rotten decking, a sagging beam or material suspected of containing asbestos. That is extra work, and you may charge for it, but only if you warned the client in good time about the higher price. Call, send a photo with an amount and wait for approval before continuing. How to record and invoice it is covered in agreeing and invoicing extra work.
If a roof runs past year-end, for example because December was too windy, the part you completed still counts in that year's profit. You value it as work in progress, even if the invoice only goes out in January. See valuing work in progress.
Worked example: replacing and insulating a flat roof
- Labour replacing the covering
- € 2,400 · 21% = € 504
- Labour fitting insulation, home built in 1985
- € 900 · 9% = € 81
- Materials: insulation, covering, edge trim
- € 2,100 · 21% = € 441
- Extra work: replacing rotten decking, approved by email
- € 480 · 21% = € 100.80
Result: The invoice comes to € 6,006.80 including VAT. Had you charged the insulation labour at 21 per cent too, your client would have paid € 108 more. Had you not reported the extra work in advance, you would probably have paid that € 480 yourself.
Insurance, safety and the rest of your costs
Roofing is among the riskiest trades there are, and it shows in your fixed costs. Business liability insurance is no luxury here: one leak after completion can run to tens of thousands of euros. Premiums are deductible, see business insurance. If you are out of action yourself there is no safety net unless you arranged one; see being ill without disability insurance.
Also deductible: safety equipment, inspections of your harness and ladders, a safety certificate and refresher training, work clothing with your company logo, the business share of your phone and disposal of demolition waste. Ordinary clothing without a logo is not deductible, see work clothing. If you work mainly for one main contractor, also read false self-employment and the DBA act.
Frequently asked questions
May I charge 9 per cent for a whole roof if I also insulate?
No. Only the labour for insulating a home older than two years falls under 9 per cent. The covering, the materials and the rest of your hours stay at 21 per cent, so you split the invoice.
What if I find asbestos?
Stop work and have it removed by a certified company. Costs you pass on are ordinary revenue, but report them as extra work before you continue, otherwise you are left with them yourself.
Do I reverse-charge VAT when working for a private client?
No. The reverse charge only applies when you work as a subcontractor for a builder. With a private client you simply charge VAT, and they cannot reclaim it.
Is hiring scaffolding deductible?
Yes, in full in the year you hire it. If you buy your own mobile tower above € 450 excluding VAT, you capitalise it and depreciate it over its useful life.
Sources
- VAT rate for insulating homesBelastingdienst · belastingdienst.nl
- VAT rate for solar panelsBelastingdienst · belastingdienst.nl
- Reverse charge for subcontracting and hiring out staffBelastingdienst · belastingdienst.nl
Sources checked on
This article provides general information based on the rules known for 2026 and does not replace personal tax advice. For your specific situation, we're happy to take a look with you.
