These are the changes to the corporate income tax rates
The first tax bracket for corporate income tax reduces from € 395,000 to € 200,000 in 2023. In addition, the rate applicable to that first bracket increases from 15% to 19%.
Reduction of the first tax bracket for corporate income tax
The first rate bracket reduces from € 395,000 to € 200,000, which has the effect of moving more companies to the highest rate bracket. The corporate income tax rate for the first bracket changes to 19% in 2023 (2022: 15%). The (higher) rate in the second bracket remains at 25.8%.
Corporate income tax rates in 2022 and 2023
2022:
| Taxable amount from: | Taxable amount up to: | Percentage in 2022 |
| € 0 | € 395.000 | 15% |
| € 395.001 | - | 25,8% |
2023:
| Taxable amount from: | Taxable amount up to | Percentage in 2023 |
| € 0 | € 200.000 | 19% |
| € 200.001 | - | 25,8% |
Discontinuation of the early payment discount
Currently, you are entitled to an early payment discount for the provisional corporate income tax that you pay in one lump sum. This is only possible in respect of the preliminary assessment that you receive in the year to which the assessment applies. The Dutch government has decided to discontinue this payment discount for prompt payment of the (preliminary) corporate income tax assessment as of 1 January 2023.
So 2022 is the last year in which you can take advantage of this discount. The financial benefit of this payment discount was in any case extremely limited in recent years. The amount of this discount is linked to the recovery interest rate, which was temporarily reduced in the recent past due to the COVID-19 pandemic.
International developments
On the international front, there are several current developments that apply to corporate taxpayers, including:
- introduction of a minimum rate for multinationals;
- introduction of an additional withholding tax on certain dividend payments;
- changes to the dividend tax;
- additional reporting and information requirements.
Increased mining levy
One of the plans for financing measures to increase citizens’ disposable income is to increase the mining levy paid by energy companies. Starting in 2023, they will pay a higher mining levy on their profits, which are often higher than in the past due to soaring energy prices. No elaboration for this is currently included in the Tax Plan. The Dutch government will flesh out this measure in an amending letter to the 2023 Tax Plan bill.
Real estate to be excluded from the fiscal investment institution (FBI) regime
As of 1 January 2024, the government plans to introduce a real estate measure for fiscal investment institutions (FBIs). This measure is intended to ensure that profits earned from real estate can be subjected to corporate income tax in all cases. At present, the profits of a financial investment institution are taxed at a corporate investment tax rate of 0% (this includes profits on real estate). As of 1 January 2024, financial investment institutions will no longer be permitted to invest directly in real estate. Due to the scope of the measure, it been decided to delay implementation and include it in the 2024 Tax Plan.
Read more about the real estate measure in our article entitled ‘Real estate to be excluded from the fiscal investment institution (FBI) regime’.
Do you require more information?
Would you like more detailed information about the corporate income tax changes? Our tax advisors will be happy to help. Please contact Robert Gall, senior tax advisor, by e-mail.
