Residents of the Netherlands pay taxes on their worldwide income; non-residents are subject to taxation on income from sources within the Netherlands only. This is made up from employment income, fees as a director, business income and revenue from fixed Dutch property.
Netherlands Income Tax 2015: Personal Income Tax Rates
In the Netherlands, income from worldwide is divided into three different types of taxable income. Each income type is taxed separately with its own schedule and its own tax rate.
Between Tax Tax on Excess (%)
€0 – €19,822 8.35
€19822 – €33,589 €1,655 13.85
€33,589 – €57,585 €3,561 42.00
€57,585 + €13,639 52.00
There are no local taxes on income in the Netherlands.
Under the tax law rulings in The Netherlands, there are a set number of criteria used in determining the place of residence. This includes:
- Where a permanent home is maintained.
- Where employment duties are performed.
- Where the Individuals family resides.
- Where the individual is registered with the local authorities.
- Where bank accounts and other assets are maintained.
- The intended length of stay in the Netherlands.
There are also a host of other taxes to take note of. These include Social Security Contributions with national insurance tax, employee insurance contribution and Dutch health insurance policy. With these, there are also:
- Consumption Taxes
- Net Wealth/Worth Taxes
- Inheritance, Estate and Gift Taxes
- Property Taxes
- Luxury and Excise Taxes
- Transfer Tax
- Insurance Tax
- Road Tax