The Dutch government aims to create an attractive environment and welcomes knowledge workers and talent from abroad. The Netherlands is on the international list of most attractive countries to do business with. However, administrative hurdles and bureaucracy need to be targeted to make access to our country a reality.

Dutch tax system

If we look at the Dutch tax system, we have created a number of facilities that makes doing business and working in the Netherlands favourable over other countries. For individuals there is the 30% tax facility, which allows employers to cover 30% of an employee's remuneration as a tax-free expense allowance. This rule is applied for specialised foreign employees who are brought to the Netherlands because their skills are scarce in the Dutch marketplace. In this section, you will read more about the details and other aspects of taxation in the Netherlands.

Income Tax changes 2020

The proposed tax rates for income from work (Box 1) will be lowered and limited to a base rate of 37.10% for income up to €68,507 and a top rate of 49.5% for income exceeding €68,507.


Visit the website of the Belastingdienst to learn about Personal Income Startement, Tax Arrangements, Benefits, Income Tax, BPM for your car and much more.
Belastingdienst in English