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Netherlands changes 2027: the Dutch government is proposing several tax and household-finance changes for 2027: higher income-tax rates in the first two brackets (in the original plan), a change to the work tax credit, a lower 30% ruling percentage, a much lower Box 3 tax-free allowance, a higher mandatory health insurance deductible, and the end of net metering for solar panels. Most measures come from the Belastingplan 2027, presented on Prinsjesdag (15 September 2026). On 29 September the cabinet added further proposals. Parliament still has to approve the tax measures, so proposed figures can still change.
Key Netherlands changes 2027 at a glance
- Income tax: the 15 September plan proposed 36.23% in bracket 1 and 38.16% in bracket 2. On 29 September the cabinet changed its purchasing-power package, so these rates may still change. It also proposed that the 49.50% top rate starts at €80,578 instead of €78,426.
- Work tax credit: the original plan raised the maximum to €5,929. On 29 September the cabinet proposed a smaller increase, so the final 2027 maximum is not yet settled.
- 30% ruling: proposed maximum of 27% tax-free from 1 January 2027, unless you started before 2024. Parliament still has to approve it.
- Box 3: on 29 September the cabinet proposed cutting the 2027 tax-free allowance to €30,846 per person and raising the deemed return on other assets by 1.5 percentage points.
- Health insurance: the mandatory deductible rises to €400 (2026: €385). The government expects an average premium of about €169 a month.
- Solar panels: net metering (salderen) ends on 1 January 2027. This is already law.
- Still to come: the 2027 minimum wage, child benefit amounts and the insurers’ actual 2027 premiums.
Table of Contents
- Income tax: brackets and rates 2027
- Tax credits: arbeidskorting and algemene heffingskorting
- 30% ruling: proposed reduction to 27%
- Box 3: proposed tax-free allowance cut
- Health insurance and zorgtoeslag
- Solar panels, housing and energy
- Travel allowance, childcare and self-employed deductions
- Netherlands changes 2027: what is not known yet
- Proposal or law? Netherlands changes 2027 and what happens next
- Dutch Learning Corner
Income tax: brackets and rates 2027
Income tax is the biggest of the Netherlands changes 2027 for most employees. For people below the AOW pension age, the Belastingplan 2027 of 15 September proposed higher rates in the first two brackets. The brackets are indexed for only 48% of inflation; the cabinet calls the difference the vrijheidsbijdrage (“freedom contribution”), and it helps pay for defence.
The 29 September changes. The cabinet then changed its purchasing-power package. It proposed a smaller increase of the work tax credit and, according to Dutch reports, a rate reduction instead. We could not find the new bracket 1 and 2 rates in the sources we checked, so the rates in the table below are the 15 September proposal and may be lowered. The cabinet also proposed that income from €80,578 (instead of €78,426) falls in the third bracket.
| Box 1 (below AOW age) | 2026 | 2027 (proposal) |
|---|---|---|
| Bracket 1 | 35.75% up to €38,883 | 36.23% up to €39,247 (15 Sept plan; may change) |
| Bracket 2 | 37.56% up to €78,426 | 38.16% (15 Sept plan; may change), up to €80,578 (29 Sept proposal) |
| Bracket 3 | 49.50% above €78,426 | 49.50% above €80,578 (29 Sept proposal) |
Rates include income tax and national insurance contributions. Want to see what this means for your payslip? Try our Net Salary Calculator.
Tax credits: arbeidskorting and algemene heffingskorting
- Work tax credit (arbeidskorting): the original plan raised the maximum from €5,685 in 2026 to €5,929 in 2027, an increase the cabinet described as €173. On 29 September the cabinet proposed a smaller increase (reported as €133). We could not confirm the resulting 2027 maximum, so treat €5,929 as the original figure, not the final one.
- General tax credit (algemene heffingskorting): the original plan raises the maximum from €3,115 to €3,154, phasing out from an income of €30,910.
What you actually receive depends on your income and situation. The purchasing-power package was changed after Prinsjesdag, so do not treat these figures as final until parliament has voted. The government expects average purchasing power to fall by about 0.1% in 2027.
30% ruling: proposed reduction to 27%
Under the proposal, the maximum tax-free percentage of the expat scheme falls from 30% to 27% from 1 January 2027. The salary requirement rises to €50,436, or €38,388 for employees under 30 with a master’s degree (figures from Business.gov.nl). Business.gov.nl notes that the start date is not yet final: the change still has to pass both houses of parliament.
If your ruling started before 1 January 2024, transitional rules let you keep 30% for the rest of your five-year term. Read our 30% ruling 2027 guide and the expat checklist.
Box 3: proposed tax-free allowance cut
In 2027 box 3 still works with a deemed return, with the option to prove a lower actual return. On 29 September 2026 the cabinet sent parliament a plan that changes the figures from Prinsjesdag:
- Tax-free allowance 2027: cut to €30,846 per person, the 2020 level (Prinsjesdag plan: €60,098; 2026: €59,357).
- Other assets (investments, a second home, rental property): the deemed return goes up by 1.5 percentage points in 2027.
- From 2028: a capital gains tax on shares, bonds and other financial instruments, with a tax-free result of €1,000 a year.
- From 2030: the remaining assets follow.
These are proposals, not law. The cabinet wants both chambers to approve them before 31 December 2026. Read our box 3 explainer.
Health insurance and zorgtoeslag
- Mandatory deductible (eigen risico): €400 in 2027, up from €385, in line with inflation.
- Premium: the government expects the average basic premium to rise by about €12.50 to roughly €169 a month. Insurers publish their actual 2027 premiums by 12 November 2026.
- Healthcare allowance (zorgtoeslag): for single people the maximum rises to about €140 a month.
The €169 and €140 figures are government estimates. The real premium depends on your insurer, and zorgtoeslag depends on your income and other conditions. To switch insurer for 2027, cancel your current policy by 31 December 2026; you then have until 1 February 2027 to take out the new one. See our health insurance 2027 guide.
Solar panels, housing and energy
- Net metering ends (law): from 1 January 2027 you can no longer offset the electricity you feed back into the grid against the electricity you use. Your supplier still pays you for it, and until 2030 that payment must be at least 50% of the supplier’s bare electricity rate (the rate without taxes).
- Transfer tax (overdrachtsbelasting): for homes the buyer will not live in, such as buy-to-let and holiday homes, the rate falls from 8% to 7% (proposal). For a home you live in yourself, 2% still applies.
- Fuel excise: the cabinet proposes extending the temporary excise discount on petrol and diesel through the end of 2027 (LPG is not included).
The transfer tax and fuel excise changes are proposals. The end of net metering is already law. Read our solar panels guide.
Travel allowance, childcare and self-employed deductions
- Tax-free travel allowance: proposed increase from €0.23 to €0.25 per kilometre, retroactive to 1 January 2026. Your employer decides whether to pay it.
- Childcare allowance (kinderopvangtoeslag): higher in 2027. According to the government, a family with two children, two times the median income and two days of childcare receives about €700 more than in 2026.
- Self-employed: the proposal lowers the self-employed deduction (zelfstandigenaftrek) from €1,200 to €900, and the starters’ deduction from €2,123 to €10 in 2027, with abolition in 2028.
The travel allowance and self-employed changes still need parliament’s approval.
Netherlands changes 2027: what is not known yet
- Minimum wage from 1 January 2027: published later in 2026.
- Child benefit (kinderbijslag) 2027 amounts: the SVB publishes them later in the year. Current amounts are in our child benefit guide.
- Actual health insurance premiums: by 12 November 2026.
- Final income tax rates and work tax credit: after the changes proposed on 29 September have been processed.
We will update this article when official figures are published.
Proposal or law? Netherlands changes 2027 and what happens next
The Belastingplan 2027 is a package of bills. The Tweede Kamer usually votes in November and the Eerste Kamer in December, and amendments are common, especially with a minority cabinet. The additional proposals of 29 September, including box 3 and the purchasing-power changes, are not final either. Treat these Netherlands changes 2027 as cabinet proposals, not confirmed law. The end of net metering is the exception: it is already law. For the background, read our Prinsjesdag 2026 overview.
This article is general information, not tax or legal advice. Tax rules depend on your income, residency and household. Check the Belastingdienst or a qualified tax adviser for your own situation. Read how we research our guides in our editorial standards.
Dutch Learning Corner
| Word (Dutch) | Pronunciation | Meaning | Context |
|---|---|---|---|
| 🇳🇱 Het Belastingplan | Het be-las-ting-plan | Tax plan | Het Belastingplan wordt op Prinsjesdag gepresenteerd. (The tax plan is presented on Prinsjesdag.) |
| 🇳🇱 De heffingskorting | De hef-fings-kor-ting | Tax credit | De heffingskorting verlaagt je belasting. (The tax credit lowers your tax.) |
| 🇳🇱 Het eigen risico | Het ei-gen ri-si-co | Health insurance deductible | Het eigen risico is in 2027 vierhonderd euro. (The deductible is 400 euros in 2027.) |
Sources
- Rijksoverheid, Prinsjesdag 2026: koopkracht, zorg, brandstof en reiskostenvergoeding and salderingsregeling
- Salaris Vanmorgen, Extra maatregelen op gebied van sociale zekerheid, koopkracht werkenden en box 3 (30 September 2026)
- Accountancy Vanmorgen, Kabinet wil grens excessief lenen verlagen and Taxence, Kabinet kiest in box 3 grotendeels voor vermogenswinstbelasting
- EY, Prinsjesdag 2026: fiscale gevolgen van het Belastingplan 2027
- Deloitte, Pakket Belastingplan 2027: tarieven en heffingskortingen
- Business.gov.nl, 30% ruling: compensation down to 27%
- Nibud, Koopkracht 2026–2027: dit verandert er
More in our guide: Taxes & Money in the Netherlands – all our guides
Switching health insurance for 2027?
Deadline 31 December. Our free checklist has every date, the €400 deductible and what else changes on 1 January. Confirm your email and the PDF is yours; we will also email you when the 2027 figures are confirmed.
