When you close your business, the car that belonged to it needs a decision. You can keep it privately, sell it, export it or have it scrapped. The Chamber of Commerce (KVK) sets a deadline, and the steps depend on whether you run a sole proprietorship or a company such as a BV. This post follows the KVK and RDW guidance. For tax questions on the book value of the car, speak to your accountant. Whoever buys the car gives you a proof of transfer, explained in our guide to the vrijwaringsbewijs.
The three-month deadline
The KVK states on its page about what to do with the car when you deregister that the car has to be re-registered with the RDW within three months after your business is deregistered. After that period, the car may no longer be driven on the road in the business name. Plan the sale around this date and start early, because replacement documents and buyers both take time.
Sole proprietorship (eenmanszaak)
Here the car is registered in your personal name, even though it counts as a business car for tax purposes. The KVK says:
- If you keep the car privately, you do not need to change the RDW registration.
- If you sell it to someone else or to another company, you must transfer the registration with the RDW.
The KVK also lists tax steps: determine the book value and the market value, record the difference as profit or loss, pay VAT on the car if you ever deducted it, and include any private-use addition (bijtelling) for the last period. These steps belong with your accountant, and we do not state any figures.
BV, vof or another company
In a BV or a vof, the car is usually registered in the company name. To take it privately or sell it to a buyer, the registration has to move from the company to your private name or to the buyer’s, again within the three months. The KVK points out that taking the car privately is a sale by the company to you. The company must pay VAT on it, and the proceeds and any profit or loss go into the company books. For a BV this can affect corporate income tax, and in a vof the profit or loss is shared between the partners. Ask your accountant how this applies to you.
How the company transfers the registration
The RDW describes the transfer to and from a company on its page about transferring a registration number to the name of a company. Key points for the party that acts:
- You need the registration card and the complete registration code, or the paper documents.
- Online, the RDW accepts eHerkenning at level 3 or higher, or an RDW certificate of the company. A paper registration document cannot be used online.
- At a counter, bring a valid ID and a certified extract from the Chamber of Commerce naming the authorised signatory, no older than one year. If someone else acts for the company, add a copy of their ID and an authorisation from the signatory.
- No appointment is needed at the counters.
- The fee is the same online and at a counter. A fee applies; the current amount is on rdw.nl.
That page describes a transfer to a company, and the RDW notes that sole proprietorships cannot use that route and must transfer to an individual. The RDW page for a sale to a private person is the one that applies when the buyer is a private person, and it says the buyer must live in the Netherlands and be registered in the BRP (the municipal personal records database). The transfer is the buyer’s task, and you then receive the proof of transfer (vrijwaringsbewijs), which you should keep with your records.
If you cannot sell in time
When selling or transferring does not work out in the period, the registration can be suspended. The government’s business.gov.nl page on suspending a vehicle registration says this can be done online with eHerkenning or an RDW certificate. A suspended car may not stand on a public road. Our post on selling a car that does not run covers a car that stands. Check the KVK page first on how a suspension fits with the three-month deadline.
Insurance, road tax and the parking permit
Once the registration has changed, the KVK says the road tax and APK obligations pass to the new owner. You then update or cancel the insurance, and you update a parking permit if you have one. Do not cancel the insurance before the transfer is done.
A checklist for closing
- Choose what happens to the car: keep it, sell it, export it or scrap it.
- Write down the date the business is deregistered and the three-month deadline that follows.
- Find the registration card and the complete registration code.
- Ask your accountant about VAT, book value and private-use addition.
- Arrange eHerkenning if the company will transfer online, or collect the KVK extract for a counter.
- Keep the proof of transfer.
Frequently asked questions
Do I have to sell the car when I close my business?
No. You can keep it privately, sell it, export it or have it scrapped, according to the KVK.
How long do I have to transfer the registration?
Three months from the date your business is deregistered, according to the KVK.
Do I need eHerkenning to sell the car?
The RDW lists eHerkenning at level 3 or higher or an RDW certificate for online company transfers. A counter visit needs an up to date KVK extract and ID instead.
Does a sole trader need to change the registration to keep the car?
No. The car is already in your name. If you sell it, the registration has to be transferred.
Who pays the VAT on a car I take privately from my BV?
The KVK says the company must pay VAT on the sale. Ask your accountant about the details.
If the car is ready to go, send its details and see the offer. You are not obliged to accept.
