Insights

Netherlands: Tax Interest News Alert - October 2023

Editorial Team 06 Oct 2023

An overview by Taxand Netherlands

Our Dutch firm, Taxand Netherlands, has released its latest Tax Interest News Alert following the Dutch budget day on 19 September, covering a new tax interest rate system proposed to be implemented from 1 January, 2024, to reduce disparities in interest rates for various taxes. The following changes are proposed:

• Interest rates will be set annually based on the European Central Bank (ECB) rate published before 31 October of each year.
• For corporate income tax (CIT), conditional withholding tax, and solidarity contribution, the rate will be ECB rate plus 5.5%, with a minimum of 5.5%.
• For other taxes like dividend withholding tax, VAT, wage tax, real estate transfer tax, and personal income tax, the rate will be ECB rate plus 3%, with a minimum of 4.5%.

As a result of this new system, the importance of filing a timely (preliminary) tax return or otherwise requesting a (preliminary) assessment to minimise tax interest is stressed.

Read the full alert here.

Article tags

Corporation Tax | European | Netherlands | Tax | Tax Policy | Withholding Tax