As an entrepreneur you sometimes incur hotel costs for work, for example for an on-site assignment or a multi-day conference. That brings VAT and deductibility into play. You can't treat all costs the same: the tax authorities distinguish between lodging, food and additional costs. This article explains how it works.
How much VAT is there on a hotel stay?
From 1 January 2026 the VAT on hotel stays is 21%. This applies only to the lodging part of the bill. Other parts, such as meals, fall under different rules. The moment of the stay determines the rate, not the moment of booking or paying.
Can you reclaim the VAT on a hotel stay?
You may reclaim the VAT on the lodging part of a business stay as input tax, provided you are VAT-liable and the stay is for business. You may not deduct the VAT on food and drink, even if it appears on the same hotel bill. So make sure the invoice is itemised, so it's clear which part is lodging.
Are the hotel costs deductible from your profit?
Hotel costs can be deductible from your profit, but not always in full. Costs for conferences, seminars and study trips are limitedly deductible: the first 5,700 euros are not deductible, anything above is. Alternatively you may choose a fixed deduction of 80%, or 73.5% for a BV.
For travel and accommodation costs there is normally a maximum deduction of 1,500 euros. If attendance was necessary for your work, that maximum no longer applies and you may deduct all costs.
How do you record hotel costs in your bookkeeping?
Always split hotel costs into lodging, meals and other costs. Record the lodging part as accommodation costs and deduct the VAT. Record food and drink as entertainment costs without VAT deduction. Parking at the hotel is a travel cost and deductible if the trip was for business. Tourist tax contains no VAT and is fully recorded as a business cost.
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.
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