Dutch tax rates and brackets 2026

What are the Dutch tax rates in 2026?

The Netherlands taxes your income in three boxes, each with its own rate. Box 1 covers your work income and your own home. Its brackets run from 35.75% to 49.50% in 2026 below state pension age.¹ Box 2 covers income from a substantial interest, at 24.5% or 31%.² Box 3 covers your wealth, at 36% on a deemed return.³ That is a fixed assumed percentage per asset type.

This guide covers the national income tax for residents of the Netherlands. Municipal taxes, VAT and gift or inheritance tax fall outside it. Did you arrive or leave during the year? Then you usually file the M form for that year. Our M form guide explains how it works.

Meet Tomas. He moved from Portugal to Rotterdam, earns €60,000 a year and holds €80,000 in savings. We follow his numbers through this guide.

We treat that €60,000 as his taxable income, so this guide leaves deductions out.

How much tax do you pay in Box 1?

Below state pension age you pay 35.75%, 37.56% or 49.50% in Box 1 in 2026.¹ Box 1 is your income from work and your own home. Think salary, business profit and pension. The eigenwoningforfait counts too, a set percentage of your home’s value added to your income. The brackets work in slices. Each slice of your income has its own rate. You never pay the top rate on your whole income.

The first-bracket rate has two parts: 8.10% income tax and 27.65% national-insurance contributions (premies volksverzekeringen).¹

What changes at the AOW age?

From the AOW state-pension age you stop paying the AOW part of those contributions. The first-bracket rate then falls to 17.85% in 2026, with the same bracket ceilings.¹ Were you born before 1 January 1946? Your first bracket runs to €41,123. In the year you reach the AOW age itself, a month-based rate applies. The Belastingdienst table gives the exact percentage for each month.¹

What if you have the 30% ruling?

Do you have the 30% ruling? It first lowers your taxable salary. The brackets then apply only to the taxable part. We explain how that works in our 30% ruling guide.

The table puts both years side by side.

Own shares in your own company? The next box is yours.

What is the Box 2 rate in 2026?

You pay 24.5% on the first €68,843 of Box 2 income and 31% above that.² A substantial interest means you own 5% or more of a company. That can be alone or together with your fiscal partner. A fiscal partner is the partner you file with, usually your spouse or registered partner. Box 2 covers the dividend from that company and the gain when you sell the shares. Director-major shareholders (dga in Dutch) deal with Box 2 most often.

Do you hold shares as a small investor, below 5%? That wealth belongs in Box 3, not Box 2. In 2025 the first bracket ran to €67,804, at the same two percentages.²

The table shows how little moved between 2025 and 2026.

Besides your income, the Belastingdienst also looks at your wealth.

How does Box 3 work in 2026?

Box 3 taxes your savings and investments at 36% on a deemed return.³ The Belastingdienst assumes a fixed return per asset type, the deemed return (in Dutch: fictief rendement). Your real interest or gains play no part in the standard calculation. For 2026 the Belastingdienst sets one percentage per asset type. The table below lists all three. The savings and debt percentages stay provisional until early 2027.³ The first €59,357 per person is exempt, €118,714 with a fiscal partner.⁴ You only get the doubled amount if you file together as fiscal partners.

Is your actual return lower than the deemed return? You can report the lower figure, and the Belastingdienst uses it. The calculation, that counter-evidence rule and the recovery scheme all live in our full Dutch wealth tax (Box 3) guide. Crypto and a second home count as investments in Box 3 too.³ Assets abroad count as well, such as foreign savings.

The key Box 3 figures at a glance, then the one boundary everyone asks about.

Back to Tomas. His numbers make the brackets concrete.

How much tax does Tomas pay on €60,000?

Tomas pays about €15,900 in Box 1 tax on his €60,000 salary in 2026. Here is the calculation. Tomas lived here all of 2026 and has no 30% ruling. The first €38,883 falls in bracket 1, at 35.75%. That is €13,901. The remaining €21,117 falls in bracket 2, at 37.56%. That is €7,932. Together roughly €21,833.

Two tax credits then lower his bill. At this income the general tax credit (algemene heffingskorting) gives him about €1,179. The labour tax credit (arbeidskorting) adds about €4,747.⁵⁶ That leaves around €15,900. In 2026 the general tax credit runs up to €3,115. The labour tax credit tops out at €5,685. Both taper down as your income rises.⁵⁶ The general tax credit tapers on your income from all three boxes. Our tax credits guide explains all the tax credits in detail.

His €80,000 in savings falls in Box 3. After the €59,357 allowance, the Belastingdienst taxes the deemed return on the rest at 36%. Above the allowance €20,643 remains. At 1.28% that is €264 and 36% of that is €95. For Tomas that comes to about €95 in 2026.³⁴

The Box 1 sum above assumes €60,000 of taxable income, so no deductions. His small Box 3 return of €264 would lower the general tax credit by about €17, so we leave it out. The 1.28% savings rate is provisional until early 2027, so the €95 can still change.

These rates hold for 2026, and the next years are already taking shape.

What changes in 2027 and 2028?

The 2027 rates are still a proposal. The 2028 Box 3 start still stands, but parliament has not decided yet. The government announced the 2027 rates on Budget Day 2026. They become final once both chambers of parliament have voted. We update this page as soon as they are set.

The bill to tax your actual return from 1 January 2028 is still waiting for a Senate vote.⁷ In September 2026 the cabinet proposed an amendment.⁸ It would tax gains on shares, bonds and other financial instruments only when you sell them. Parliament has not yet decided on it. The extra Box 3 exemption for green investments drops to €200 per person in 2027. It ends on 1 January 2028, together with its tax credit.⁹ Our Box 3 reform guide explains what the reform would mean for your savings. Our Spring memorandum 2026 page shows how firm the proposals are.

All these percentages only matter next to your own numbers.

What does this mean for you?

Your bill depends on which boxes your income and savings fall in. The rates on this page tell you what each slice costs. Your deductions, credits and the 30% ruling decide what you actually pay. Three things are worth a look this year. Which bracket does your salary top out in? Does your savings balance pass the €59,357 allowance? And does a tax credit taper away as your income rises? Tomas checked all three and found his savings well above the allowance.

Want only the year tables? Our short tax brackets and tariffs overview lists exactly those.

Ready to run your own numbers? Our tax calculator works out your Dutch income tax for 2026. The tax changes overview shows what is in force in 2026. Our end of year tax tips list what to do before 31 December.