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Substantial interest – tax changes announced

From 2024, two different rates are likely to apply to people paying income tax in box 2 because of having a substantial interest in a company.

From 2024, two different rates are likely to apply to people paying income tax in box 2 because of having a substantial interest in a company. This follows the government’s announcement in the Spring Memorandum that, in 2024, it intends to replace the current uniform rate of 26.9% with a reduced rate of 26% for income up to €67,000 and a higher rate of 29.5% for any income above that threshold. This proposal will benefit directors/major shareholders receiving €67,000 or less a year, but will increase the tax payable on higher amounts.

Interest of at least 5%

An interest in a Dutch or foreign company is regarded as substantial if you (or your fiscal partner) own at least 5% of the shares, profit certificates or options. And you are also seen as having a substantial interest if your own shareholding is less than 5%, but family members (such as your parents, children or grandchildren, or their fiscal partners) have a substantial interest in the same company or cooperative.

You can find more information on the Spring Memorandum

Meer over de Voorjaarsnota kunt u here lezen.