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ARTICLE · 24 SEPTEMBER 2019

The Netherlands: Tax Plan 2020

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On September 17, 2019, the Dutch government released the Budget 2020 containing its Tax Plan 2020 with certain amendments to Dutch tax law.

NetherlandsTax

On September 17, 2019, the Dutch government released the Budget 2020 containing its Tax Plan 2020 with certain amendments to Dutch tax law. Please find the highlights below of the changes that will have effect as per January 1, 2020:

1. Corporate income tax

Reduction of tax rates

The corporate income tax rate is currently 19% for the first €200,000 of profit and 25% for profit exceeding €200,000. The legislative proposal includes a reduction of the rates as follows:

Year

First €200.000

> €200.000

2020

16.5%

25%

2021

15%

21.7%

Interest deduction limitations

Minimum equity rule for banks and insurers

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