Netherlands: Tax measures in 2025 Spring Memorandum sent to Parliament
Related to VAT, individual income tax, payroll tax, and gift and inheritance tax
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April 25, 2025
The Minister of Finance on April 18, 2025, sent the 2025 Spring Memorandum to the Lower House of Parliament, providing an update on the government’s budget for 2025 and subsequent years. The Spring Memorandum outlines several tax measures aimed at financing government plans and other expenditures.
- VAT
- Reversal of the increase in the value added tax (VAT) rate for goods and services in the culture, media, and sports sector—the VAT rate will remain 9% (and not increase to 21%)
- Individual (personal) income tax and payroll tax
- Limited adjustment for inflation
- Changes to Box 3
- Employee participation plans
- Business discontinuation relief and working partner's abatement
- Early retirement scheme (RVU) exemption
- Labor tax credit on social security benefits
- Gift and inheritance tax
- Addressing unequal division of matrimonial community of property
- Policy of moderation for interest on tax due inheritance tax
- Equating biological children with legal children for gift and inheritance tax purposes
- Extension of the tax return deadline for inheritance tax
- Miscellaneous
- Reduction in energy tax for households
- Simplification of the definition of partnership for allowance purposes
- One-off increase in rent allowance in 2026
- Measure to address the “hint of dairy” arrangement in non-alcoholic drinks
- Addressing notable tax arrangements, including those related to estate planning, untaxed access to annuity capital, partnerships between entrepreneurs and their own BV (limited liability company), and the lucrative interest regime
Read an April 2025 report prepared by the KPMG member firm in the Netherlands