Tax changes 2021

Every year, the Dutch tax system changes a bit. In this article, you can find a selection of the most important tax changes for private individuals for 2021. Here, you can read what the plans are and what this means for your financial situation. Please note: these are still plans, the final changes will be announced in December.

No transfer tax for starters

In 2021, everyone between 18 and 35 years old does not have to pay transfer tax the first time they are buying a house. Did you already buy a house before this arrangement? No worries, everyone younger than 35 years old can make use of this arrangement once. In the current situation, the amount of transfer tax is 2% of the purchase price. On the other hand, for investors, the transfer tax will increase to 8%. The aim is to give starters more space in the housing market.


Box 3 taxation: lowering the pressure for small savers

Box 3 taxation will change in 2021. The intention is to make the taxation fairer for savers. Below, you can see what this change will entail.

  • Increase of amount tax exemption

    The exemption will increase from € 30,646 to € 50,000 per person. However, this will not apply to the allowances and personal contribution under the Long-Term Care Act.

  • Change in fixed return

    Taxation in box 3 is divided into three brackets. These will also change in 2021: if you have high capital, it is more likely to fall under a higher bracket. The brackets are divided into a ‘capital mix’. This means that they assume that:

    • Bracket 1 consists of 67% savings and 33% investments;
    • Bracket 2 consists of 21% savings and 79% investments;
    • Bracket 3 consists of 100% investments.

    The fixed return on savings will reduce from 0.07% to 0.03%. The fixed return on investments will increase from 5.28% to 5.69%.

  • Increase of tax rate

    The fixed return will no longer be taxed at 30% but at 31%. The purpose of this is to partially offset the lower income as a result of the tax-free allowance.

But what does this mean for your fiscal situation? In short, if you have less than €220,000 in assets (or double the amount for tax partners), you have to pay less tax in 2021 than you do now.

Change in box 1 taxation

In 2021, the tax tariff will decrease to 37.1% for income up and until €68,507. The tariff for the second tax bracket will remain the same.

IncomeTax tariff
Less than € 68,50737.1%
More than € 68,50749.5%

Change in tax credits

In 2021, certain tax credits will change.

The general tax credit will go from €2,711 in 2020 to €2,837 in 2021. This will be beneficial for people with an income up and until €68,507.

The maximum labour rebate will go from €3,819 in 2020 to €4,205 in 2021.

The elderly rebate will go from €1,622 in 2020 to €1,703 in 2021. This will be beneficial for the elderly with an income up and until €49,000.

The income-related combination tax credit will decrease from €2,881 in 2020 to €2,815 in 2021.

We are happy to help!

Are the tax changes for 2021 still not entirely clear to you? Or do you have other tax-related questions? We are happy to help you! Feel free to contact us using the information below.

WhatsApp us:

Call us:

+31 (0)20-2170120