Bartering services with another business: fine, but do invoice

Written by Ilias Aarrass5 min read · Published on 4 September 2026 · Last reviewed on 11 September 2026

In short

Bartering services is two supplies at once for tax: both businesses invoice the normal value with VAT, offset the invoices and book both revenue and costs.

You calculate VAT on the value of the supply received, using 9/109 or 21/121 when the amount includes VAT.
In a barter between businesses, the tax authority allows both parties to use one joint invoice.
The invoiced value counts as revenue for the small business scheme limit and the hours worked count for the hours criterion.
If one side is exempt or under the small business scheme, they cannot deduct the other's VAT and the barter gets dearer on balance.

Especially when starting out, freelancers love to trade services: the photographer shoots images for the web designer, who builds the portfolio site in return. Friendly and often smart, but a stubborn myth says 'nothing happens' because no money moves. For tax, plenty happens: bartering is selling and buying at once. Record it properly and it causes no trouble; leave it out and revenue is missing from the books, with an assessment as the risk.

Bartering is supplying twice

In a barter each performs a supply and the other's supply is the payment. Both businesses therefore send an invoice for the normal value of their service, with VAT, exactly as with a paying client; according to the tax authority a barter between businesses may also go on one joint invoice. You then offset the invoices against each other; only any difference is paid. Your invoice is revenue, the other's invoice is a cost, and the VAT on that purchase invoice is deducted as input tax. Between two VAT-registered businesses with equivalent services the VAT nets out; the paperwork is the point, not the levy.

Which value goes on the invoice

You invoice the value you would normally charge: your usual hourly rate times the hours, or your fixed project price. Agree in advance that both supplies are equivalent, or record who tops up the difference if not. Unrealistically low amounts to 'keep it simple' are unwise: an audit looks at real value, and a big gap raises questions. Treat it as a regular assignment with an unusual payment method, including a quotation or confirmation up front.

Worked example: website for branding

Web designer's invoice to photographer: € 1,500 + € 315 VAT
Photographer's invoice to designer: € 1,500 + € 315 VAT
Offset against each other, to pay: € 0
In each one's books: € 1,500 revenue and € 1,500 costs

Result: Both keep sound records, deductible costs and a defensible VAT position; the barter itself remains cashless

Where it can go wrong

Three pitfalls stand out:

Recording nothing: without invoices the barter is invisible, until an audit spots the service at one side and the other turns out to miss revenue.
Unequal VAT positions: if one side is exempt or under the small business scheme, they cannot deduct the other's VAT, making the barter dearer on balance; settle that in the arrangement.
A private element: trading a business service for something personal makes your side taxable revenue as usual, while the received supply is no business cost.

Frequently asked questions

Does bartered revenue count for my hours criterion and KOR limit?

The hours worked count for the hours criterion, and the invoiced value counts as revenue, including for the KOR revenue limit. Bartering is not a way to stay under thresholds.

May I barter with a private individual, say a job for babysitting?

Your business supply remains taxable revenue at normal value, even if the return favour is private. The babysitting received is no business cost. Small personal favours outside your business fall outside this story; it concerns supplies from your enterprise.

How do I process the offset in my books without a payment?

Enter both invoices normally and settle them against each other as an offset, in many packages a reconciliation without a bank entry. Note in the description which invoice was offset, so the barter remains traceable years later.

Is a barter deal with an influencer the same?

Yes, product or service for promotion is a barter, exactly what happens in collaborations with content creators and influencers: you supply against the promotion's value, they supply a promotional service. Working with ambassadors often? Make it a standard process with fixed agreements and mutual invoices.

Sources

Calculating VAT when barteringBelastingdienst · belastingdienst.nl
Invoice requirements for a full invoiceBelastingdienst · belastingdienst.nl

Sources checked on 11 September 2026

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.