Paying taxes

You have to pay taxes on your income. If you work for an employer, tax is automatically paid on your wages. This also happens automatically if you have benefits. If you are an entrepreneur, you have to calculate and pay tax yourself.

Once per year the Dutch tax authorities you ask you to fill in your data about your income digitally. This is called the 'belastingaangifte'. You have to do this every year between 1 March and 1 April. The tax authorities calculate whether you paid enough tax on your income last year. Sometimes you have to pay extra or you get a refund.

The Dutch tax authorities can help you fill in your 'belastingaangifte'. You can make an appointment for this via the Tax Information Line: (0800) 05 43. You can call between 08:00 and 20:00 from Monday to Thursday, and on Fridays between 08:00 and 17:00.

If you have overpaid income tax, you can get money back from the Dutch tax authorities. This is called a 'belastingteruggave'.

If you live in an asylum seekers' centre (AZC) for part of the year, you can use the 'M-formulier' to get a 'belastingteruggave'. The 'M-form' is a form you fill in in the year of emigration or immigration.

Normally, you have to submit the 'M-formulier' to the Dutch tax authorities by 1 July of the following year. Please note: it may be that the municipality sees that refund as income. The municipality will deduct this from your benefit. Check with the municipality before filling in the form.

When you work for an employer, you automatically pay part of your wages to the government. This is called wage tax. How much tax you have to pay depends on the amount of your income. The higher your income, the more tax you have to pay.

1. Will you earn between €0 and €38,441 gross per year in 2025? Then you will pay 35.82 percent tax on your salary.

2. Will you earn between €38,441 and €76,817 gross per year in 2025? Then you will pay 37.48 percent gross tax on your salary above €38,441.

3. Will you earn more than €76,817 gross in 2025? Then you will pay 49.50 percent gross tax on your salary above €76,817.

If you are employed in the Netherlands, you are entitled to a discount on your wage tax. There is a general tax discount and an employment tax discount. These discounts together are called the wage tax discount. You can apply for the wage tax credit with your employer, or through the Dutch tax authorities. Your employer then pays less tax, giving you more pay.

Your empoyment tax discount is calculated based on your income. In 2025, the maximum employment tax discount is €5,599 per year. Above an income of € 43,071, the employment tax discount becomes progressively lower. How much wage tax discount is applied to you therefore depends on your salary.

Please note: If you work for multiple employers at the same time, you can claim a wage tax discount from one employer. If you want to use the wage tax discount, report this to your employer.