(Wealthy) individuals

The flat-rate return on other assets in Box 3 will be adjusted by explicitly taking into account property rental income and the benefit of proprietary use in the calculation method of the long-term return on property. This leads to an increase in the flat rate from 6% to 7.78%. In addition, the tax-free assets will be reduced from 
€ 57,684 to € 51,396 per taxpayer. This broadens the tax base and increases the number of taxpayers paying Box 3 levies. The rebuttal scheme continues to apply, allowing taxpayers with lower actual returns to apply for a correction. 

Tip! 

Make use of the rebuttal scheme if the actual return is lower than the flat-rate return.  

Reparation of rebuttal scheme Box 3 

The calculation of the actual return in the Box 3 rebuttal scheme will be changed to prevent misuse with bonds and other assets that have short-term income periods. Until now, the acquisition of bonds with accrued interest could lead to losses in the year of acquisition, thereby reducing or avoiding the Box 3 levy. It is proposed that on application of the rebuttal scheme, the short-term income exemption and the current valuation rule for listed securities should be abolished for bonds and similar products. Valuation at the economic value will then take place in future including accrued interest. An exception applies to bank account credit balances: current interest income periods on bank account credit balances continue to be exempt. This change will have a retroactive effect up to and including 25 August 2025 at 16:00. 

 
Take note! 

For bonds acquired before 25 August 2025 at 16:00, the old system continues to apply until the disposal, or until the introduction of the new Box 3 system. 

Actual returns in Box 3 as from 2028 

There is a legislative proposal to start taxing the actual return on capital in Box 3 as from 1 January 2028. This replaces the current system of setting the return on capital at a flat rate. According to the government, the aforementioned effective date can only be met if the Dutch House of Representatives adopts the legislative proposal by 15 March 2026. As there is still discussion about the best way to determine such actual return, it is not yet certain whether that will be possible. 

Changes in Green Investments 

The previously adopted abolition of green investment tax schemes has been postponed for a year to avoid implementation problems. This means that both the Box 3 exemption and the tax credit for green investments will not be cancelled on 1 January 2027, but on 1 January 2028. For 2027, however, a symbolically low exemption of €200 (for partners €400) has been established, which de facto means the schemes have already been abolished. The tax credit formally continues to exist but is negligible due to it being tied to the reduced amount of exemption. As of 2028, the arrangements will be cancelled entirely. 

 
Take note! 

For 2027, only a minimum exemption remains. So, in practice, the tax benefit for green investments will be abolished as early as that year. 

2026 Income tax rates for taxpayers below the statutory retirement age 

Taxpayers who have not reached the statutory retirement age (Algemeneouderdomswet, AOW) at the beginning of 2026, can expect the following tax brackets to be applied in 2026. 

These percentages include the National Insurance Contributions. A different rate structure applies for those who qualify for fewer or no National Insurance Contributions.  

2026 Income tax rates for old-age pensioners  

Taxpayers who have reached the statutory retirement age (Algemeneouderdomswet, AOW) at the beginning of 2026 and were born after 1946, are expected to have the following tax brackets applied in 2026.   

* Born before 1946: tax bracket 1 up to €41,123 

* Born before 1946: tax bracket 1 up to €40,502  

Changed tax credits  

Below are the expected tax credits for 2026. With the exception of the elderly person’s tax credit and the single elderly person’s tax credit, these are tax credits for taxpayers who are younger than the statutory retirement age. For people older than the statutory retirement age, lower limits apply. 

Tightening of rules for the use of an own dwelling by relatives 

A tightening-up will be implemented for making an own dwelling available to relatives: children, grand children and former household members do not count as third parties when it is made available free of charge. 

Maximum base for annuity premiums 

The maximum base of premium calculation for annuity premiums for income tax purposes will remain unchanged at € 137.800, as will the capping threshold for the pensionable wage in 2026; once more no indexation.
 

Adjustment of rules regarding annuity payments 

The rules on annuity payments are being amended. Annuities that no longer qualify will continue to be taxed unless negative expenditure has previously been deducted. There are also technical clarifications concerning forms, benefit periods and partner transition.