On Friday, May 28, 2021 the caretaker government announced that the changes to the corporate income tax loss set-off can take effect as of January 1, 2022. It was also announced that the Job related Investment Allowance (Baangerelateerde Investeringskorting; BIK) will be withdrawn.

We have briefly outlined the motions that were approved.

This Decree potentially provides a meaningful option to foreign entities that have not been able to otherwise obtain relief for Dutch dividend withholding tax through either a reduced treaty tax rate or an exemption.

As the end of the year is fast approaching, many organizations will soon start preparing their year‑end financial statements. The announced 2021 Tax Plan may have a significant impact on those financials and especially the income tax position. The impact should be reflected once the 2021 Tax Plan is (substantively) enacted.

We have briefly outlined the adopted tax amendments and a selection of the adopted motions.

On October 5, 2020 the government presented two Memorandums of Amendment to the bill on the 2021 Tax Plan to the Lower House of Parliament. These memorandums had been announced on Budget Day.

In our memorandum we address the most significant changes proposed for payroll taxes and social security contributions.

We have prepared a two-page overview of the measures contained in the 2021 Tax Plan package.

The main features of the 2021 Tax Plan package are addressed in our memorandum