Personal income taxes Netherlands

By: Together Abroad 27-01-2014 10:09 AM
Categories: Tips for internationals,

Personal income taxes Netherlands

Individuals who are living in the Netherlands (residents taxpayers) are liable on Dutch personal income tax on their worldwide income. Individuals who are living outside the Netherlands (non-resident taxpayers) are only liable to Dutch personal income tax on income received from specific sources in the Netherlands (such as Dutch employment income, director’s fees, business income and Dutch real estate).

Types of taxable income (boxes).
Dutch personal income tax is due on three types of taxable income (boxes). Each box has its own tax rates.
• Box 1: taxable income from work and home ownership
• Box 2: taxable income from a substantial interest.
• Box 3: taxable income from savings and investment.

* In the first and second bracket of box 1, national insurance tax is also levied at a rate of 31.15%.

Personal income taxes Netherlands
Personal income tax returns

Personal income tax returns must be filed after each calendar year before 1 April. The Dutch tax authorities will then issue a tax assessment upon which the taxes due have to be paid (or received in case of a refund). Fiscal partners are able to file a joint tax return. Spouses and individuals in a joint household automatically qualify as fiscal partners. When filing a joint tax return, each partner is still taxed separately for their business income, employment income, pension income, and other periodic payments less premiums for life annuities and for certain other periodic payments. However, the partners can choose to divide certain types of income and / or deductions between each other.

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For an expat moving to the Netherlands, getting the right direction is very important. It's important that one knows which steps and direction to take. Linda is an exceptionally talent counselor, her advice has helped me land a job within a week of coming to the Netherlands. I am grateful for her mentoring and look forward to a great working relationship in the future.

Dr. Hrishiraj S | Clinical Research & Affairs Manager

Together Abroad provided expert advice on personal branding including developing a top-notch, market-aware CV, highly tailored job applications, and approach strategies with potential employers in the Netherlands. Furthermore, I found them be highly knowledgeable in key related fields such as recruitment strategy, immigration law, contracts, labor agreements, and (un)employment benefits. I would recommend Together Abroad to anyone who needs professional help with transitioning to a new career.

A. Aboufirass | Structural Engeer

Linda is a big mind. She thinks about things that the rest normally overlook. The insight she has about the dutch job market can only be achieved through years of experience and persistence.

Her business savvy is complemented by her mastery of understanding the client's needs and requirements. For my career I could say, she was the “Mary Poppins”, who guided me through thick and thin and helped me to land a career in the Netherlands

S. Bhattacharjee | FP&A Manager

If you are going to enlist the services of a "Career Coach" look no further. The only person you want in your corner is Linda van Orsouw. As an expat, you absolutely want to work with a highly skilled and knowledgeable professional who knows their way around the Dutch career/employment/job market. Linda assisted me in writing and positioning my CV, helped me organize and prioritize my list of opportunities, coached me through mock interviews and was there when I got offered a senior position only 2 months later. When asked I will only refer to Linda and "Togetherabroad".

Mr. C. Joubert
Lead Workplace Strategy Consultant 

 

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