Every Dutchman, young and old, knows that the Golden Carriage for Prince's Day (Prinsjesdag) this year will not be. However, ceremonies are not the main thing. Businessmen in the Netherlands are more interested in the budget and tax changes that the government will announce that day. Although the intrigue remains, the Nalog.nl team is ready to lift the veil of mystery a little about what employers can expect from Budget Day.
- DGA Taxable Salary Increase
We analyzed the principles of wage taxation DGA (Directeur-grootaandeelhouder) in our overview article about a Dutch private limited company (BV). About what is regular wage (gebruikelijk loon) DGA and what is its minimum size from the Belastingdienst side is set for 2022, you can see in our news material.
As a reminder, a BV must set its DGA's taxable wage at a certain minimum amount, the so-called regular wage. And this amount is not lower than: 1) 48.000 euros gross per year in 2022; or 2) 75% of the salary of an employee in a similar position; or 3) the salary of the highest paid employee of the company or subsidiary.
In the following year, the regular DGA salary may be set at 85% of the employee's salary in a similar position (if that is the higher of the three amounts). As a result, for many BVs, their DGA's taxable wages will increase.
- Cancellation of concessions for startups
For start-ups, the application of the regular DGA salary has its own characteristics, as we discussed in article. Startups can now set regular wages at the level of the legal minimum wage.
This relief was planned to be canceled as early as 2022, but left. But from January 1, 2023, the prospects for cancellation look more realistic if the government considers the results of the assessment of this scheme negative.
- Increase in tax-free fare reimbursement
We have collected all the necessary details on the reimbursement of transport costs in an overview. material. When an employer reimburses an employee's transportation costs, the reimbursement up to €0,19 per kilometer is tax-free (regardless of the mode of transport). This amount has not changed since 2006.
Good news! The 2023 tax plan is likely to include an increase in tax-free toll reimbursement. It is possible that the amount will increase by 1-1,5 euro cents (judging by the reserved amount), but there is no exact data yet.
- Ruling limit
About 30% ruling (30% regeling) and the conditions for obtaining it, we offer our Article.
As a reminder: according to the current legislation and regulations, skilled workers from abroad who come to work in the Netherlands (so-called expats, or kennis migrants) can, under certain conditions, benefit from a tax rebate of 30%. Specifically: ruling allows you to exempt 30% of gross salary from taxation.
However, from 2023, they plan to apply the tax rebate only on wages below the “Balkenende standard” (2022 euros in 216). The "Balkenende Standard" (Balkenendenorm) is the upper salary limit in the Netherlands, which is correlated with the prime minister's salary. At the same time, a three-year transition period is established for the introduction of the restriction. However, under any circumstances and changes, you can always do ruling request without the hassle of using the services of Nalog.nl.
Publication Date: 08.09.2022
