Certificate of Coverage (Form A1)

Certificate of Coverage (Form A1): Essential for Self-Employed Individuals Filing a US Tax Return

What is a Certificate of Coverage (Form A1)?

A Certificate of Coverage (or Form A1) is a critical document for self-employed individuals filing their US tax return while residing abroad. It demonstrates that you have paid your social security contributions in the country where you live and pay taxes. This prevents double taxation under social security tax treaties.

By including Form A1 with your US tax return, you show the IRS that you are complying with local social security laws, ensuring you avoid paying US self-employment tax on the same income.

Do I Need Form A1 if I Live in Another European Country?

Yes. If you live and work in a European country other than the Netherlands, you still need to show proof of your social security contributions. You can request Form A1 by contacting the relevant authority in your country.

For more information on how to obtain this form, use this EU contact list for social security forms.

How to Obtain Form A1 in the Netherlands

If you reside and pay taxes in the Netherlands, you can request Form A1 by completing the necessary application form provided by the SVB (Sociale Verzekeringsbank).

• For the Dutch version of the form, click here.
• For the English version, click here.

The form is primarily designed for employees working abroad, so not all sections will apply to US persons who are self-employed. You should:

• Write “N/A, see attachment” for irrelevant questions.
• Include a written explanation clarifying your situation as a US person and why the document is required for your US tax return.
• Attach supporting documents, such as VAT filings or proof of business activity.

Once completed, send the form by post to the SVB address provided at the bottom of the application form. Keep copies of all documents for your records.

Why is Form A1 Necessary?

Failing to request a Certificate of Coverage can lead to double taxation. Without this document, the IRS may treat your social security contributions as unpaid, potentially imposing self-employment tax on your US tax return.

The US has tax treaties with many European countries to prevent double taxation, and Form A1 acts as proof that you have already paid your social security contributions locally.

Is it really necessary to apply for Form A1 ?

If you would not request the Certificate of Coverage, there is a good chance that your US tax return will show that you have to pay tax in the US, because Social security is also taxed in the US for self-employment. However, because the US and most European countries have a tax treaty to prevent double taxation, you can use this Certificate of Coverage to demonstrate that you have already paid your social security contributions, in the country where you live and pay your taxes, for the period that you were self-employed

Relinquishing Social Security Liability

If you no longer work as a self-employed individual or have ceased business activities, ensure you update your Certificate of Coverage status with the local authority to avoid unnecessary contributions.

Frequently Asked Questions

What if I don’t submit Form A1?

Without Form A1, the IRS may impose self-employment tax, increasing your tax liability.

Can I request Form A1 for past tax years?

Yes, you can often apply retroactively if you can provide proof of past contributions.

Is Form A1 mandatory for employees?

No, it is typically required for self-employed individuals. Employees working abroad are usually covered under their employer’s social security arrangements.

Need Help with Your Certificate of Coverage (Form A1)?

Navigating US tax rules as a self-employed expat can be complex. Americans Overseas offers free guidance and connects you to US tax experts to ensure compliance with IRS requirements.

Contact us today to learn more about filing Form A1 or resolving your US tax obligations.