Measures for (wealthy) individuals

2022 Income tax rates for taxpayers below statutory retirement age
Taxpayers who have not reached the statutory retirement age (AOW) at the beginning of 2022, are expecting the following tax brackets to be applied in 2022.

These percentages include national social insurance contributions. A different rate structure applies for those who qualify for other national insurance contributions.

2022 Income tax rates for old-age pensioners
Taxpayers who have reached the statutory retirement age (AOW) at the beginning of 2022 and were born after 1946, are expected to have the following tax brackets applied in 2022. 

These percentages include national social insurance contributions. A different rate structure applies for those who qualify for other national insurance contributions.

Changed tax credits
This only includes the changes in tax credits as mentioned in the Explanatory Memorandum of the 2022 Tax Plan. These relate to taxpayers who are under the statutory retirement age (AOW). A lower maximum applies to persons entitled to an old-age pension (AOW). 

Exception for tax partner concept for Income-dependent Combination Tax Credit (IACK) application For the income-dependent combination tax credit (IACK), the treatment of taxpayers with a partner residing abroad has been aligned with the treatment of taxpayers with a partner who is a resident taxpayer. 

Someone who lives abroad at a single address with a non-employed partner, can now be regarded as a single person for the IACK tax credit. It is also possible that two non-resident taxpayers with employment income in the Netherlands, who live abroad at the same address with a child, are both entitled to the IACK tax credit. 

These exceptions to the tax partner concept will no longer apply to the IACK tax credit. 

Easing of housing allowance for asylum permit holders  
The birth of a child of parents with a residence permit could lead to the loss of a housing allowance. The child does not actually have a residence permit at birth. Entitlement to a housing allowance requires that all residents must have a residence permit. This requirement has been eased. On assessing the entitlement to a housing allowance, the residence status of minor members of the household is no longer taken into account. Only persons aged 18 or over must be in possession of a valid residence permit. 

Technical adjustment in Box 3 calculation method of rate of return 
The rates of return on income from savings and investments (Box 3) are adjusted annually. In order to make this technical adjustment more manageable for taxpayers, the calculation methods are explicitly laid down in law in the form of formulas. This does not change the calculation method, only the method of notation will be algebraic. From 2022 onwards, the consequences of an adjustment of the base year will be achieved by ministerial regulation. 

Amendment of the partner concept for green investments
Taxpayers or the partner who has exempted green investments will receive an income tax assessment for Box 3. These investments are also actually relevant to income-dependent schemes. In the 2022 Tax Plans, the imposition of a tax assessment on the presence of green investments, will be corrected with retroactive effect to 1 January 2021. Then a tax assessment will only be imposed if the green investments are part of the possessions of the taxpayer or the partner to whom they were married (or had a registered partnership with) throughout the year.

Legislative proposal for recovery procedure of benefits and allowances 
The proposal for an Allowances Recovery Procedure Act (Wet hersteloperatie toeslagen) which is still to be submitted, relates in particular to the classification of policy decisions that have already entered into force and are being implemented. At this point in time, additional arrangements are being made to allow children of aggrieved parents, ex-partners of aggrieved parties and aggrieved parties to be entitled to other allowances. There will also be a ‘policy decision on private debt’.

The basis of assessment for municipal benefits will be included in the legislative proposal. This mainly concerns compensation of discharged public debt and helping aggrieved parents in the five living environments (employment, housing, care, family and finances).

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