Corporate tax in the Netherlands in 2023
People who own more than 5% of the shares of a company, directly or indirectly, will be taxed slightly more. The tax rate in Box 2 will go up for dividends over 60.000 euros. The new top rate will be 40,59%. For dividends under 60.000 euros, the tax burden will be reduced very moderately, from 26,9% to 26%.
Furthermore, the limit for the low corporate income tax (vpb) rate is going down, from 395.000 euros profit to 200.000 euros. The low rate of 15% will go up to 19%. Companies with a profit of 200.000 euros or more will pay the high rate as of January 1, 2023. That rate goes up from 25% to 25,8%.
Property changes for 2023
For people with incomes above 73.031 euros, the mortgage interest deduction will go down further in 2023, from 40% to 36,93%. People with lower incomes are not affected.
The gift exemption for owner-occupied homes will go down from 106.671 to 27.231 euros as of January 1, 2023. This amount is equal to the one-time increased exemption that applies in the parent / child relationship and that children may spend freely.
The general transfer tax rate goes up from 8% to 10,4%. The starter exemption remains in place. Also, the reduced rate of 2% that applies when a person is 35 years of age or younger and buys a house (worth less than 440.000) that they will reside in themselves, will continue to apply.
Childcare allowance in the Netherlands in 2023
For many people, it will be a relief that the government decided to increase the childcare allowance for 2023 after all. This correction means that the childcare allowance will rise by an average of 6,54% instead of the previously announced 5,6%.
As a result, the maximum hourly rate for daycare and after-school care (BSO) goes up to 9,06 euros and 7,79 euros, respectively. This is not nearly enough to compensate for the increased costs, but the government promises that if it turns out that the allowance is not enough, a new correction can be made in 2024.
For self-employed workers and freelancers in particular, another favourable change is coming. In order to determine the childcare allowance, from 2023, the number of months worked will be taken into account instead of the number of hours per week.
The cancellation of the FOR
The government has decided to cancel the FOR (fiscale oudedagsreserve) from January 1, 2023. The FOR made it possible for entrepreneurs to reserve a part of their profit for their pension.
You might wonder how entrepreneurs will build up their pension, now that the FOR has been cancelled. An option is to directly choose for an annuity. The difference between this and the FOR is that you now must immediately put aside the money.
If you already benefit from the FOR, there is no need to panic. Even after the FOR has been cancelled, your reserved money will remain.
For advice on your tax situation, contact Blue Umbrella. For more information about the FOR, please take a look at their article: Old age benefit for small businesses: final year in 2022.