Tangible fixed assets (materiële vaste activa): meaning
Tangible durable business assets such as buildings, machinery, equipment and cars (art. 2:366 DCC). Usually valued at cost less depreciation; current value is also permitted (art. 2:384(1) DCC).
What do tangible fixed assets mean?
Tangible durable business assets such as buildings, machinery, equipment and cars (art. 2:366 DCC). Usually valued at cost less depreciation; current value is also permitted (art. 2:384(1) DCC).
This item comprises tangible assets that serve the business durably. A purchased machine is initially recognised at acquisition cost; depreciation and, where necessary, impairment follow. Inventory is not included.
How does it work?
The law divides the item into business buildings and land, machinery and installations, other fixed business assets, assets under construction with prepayments, and assets not serving the production process (art. 2:366(1) DCC). An asset is recognised at the purchase price plus incidental costs such as transport and installation (art. 2:388(1) DCC).
An asset with a limited useful life is depreciated annually under a scheme matched to the expected useful life, regardless of the result (art. 2:386(1) and (4) DCC). RJ 212 requires that significant components with their own useful life are depreciated separately, and for major maintenance leaves the choice between that component approach and a maintenance provision.
Example
A bakery (BV) buys an oven on 1 April 2026: € 46.000, plus € 2.500 transport and € 1.500 installation. Acquisition cost: € 50.000. Of this, € 8.000 belongs to the burner, which lasts five years; the rest lasts ten years and has € 5.000 residual value. Depreciation on the oven without burner: (42.000 − 5.000) / 10 = € 3.700 a year. On the burner: 8.000 / 5 = € 1.600 a year. Together that is € 5.300 a year, or € 3.975 over the nine months of 2026. The new burner in 2031 is a replacement investment, not a maintenance expense.
In the annual accounts
Fixed assets on the balance sheet; detailed notes differ by size class.
Difference from inventory
The same item can be either. A van is a tangible fixed asset for a plumber, because it serves the business durably, and inventory for a car dealer, because it is intended for sale (art. 2:364(1) DCC). Inventory is not depreciated.
Common mistakes
- Capitalising consumables as a durable asset
- Ignoring residual value
What to watch for
- Keep an asset register with, per asset, purchase date, cost, useful life, residual value and cumulative depreciation. The depreciation calculator checks the schedule.
- Assess useful life and residual value every year; an adjustment is a change in estimate and works only prospectively (RJ 145).
- Medium-sized and large entities include a movement schedule per item (art. 2:368(1) DCC). Small entities state only the sum of the revaluations (art. 2:396(3) DCC); micro entities show one amount for fixed assets.
Legal basis and source
art. 2:366, 2:384(1) and 2:386(4) DCC; RJ 212
Frequently asked questions
From what amount must I capitalise a purchase?
Book 2 of the Dutch Civil Code names no threshold: an item that serves the business for several years is a fixed asset. In practice the tax rule is often followed, under which a business asset costing less than € 450 is deducted as an expense in one go.
When does depreciation start?
From the moment the asset is available for its intended use (RJ 212), not on the order or payment date.
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Preparing Dutch annual accounts?
Your first set of annual accounts is free, for every size class. Create an account and prepare the annual accounts of your Dutch company under Title 9 of Book 2 of the Dutch Civil Code.
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