The incoming Dutch government’s coalition agreement outlines a series of phased tax measures, including a new business contribution to fund defence spending, adjustments to property transfer tax, the removal of reduced VAT on ornamental plants, and the introduction of a sugar tax on certain pre-packaged foods.
The Dutch government’s incoming coalition released its agreement for the 2026–2030 term on 30 January 2026, along with an appendix outlining planned budgetary and tax changes.
The proposals outline several notable shifts affecting businesses, property investors, and consumers over the coming years.
New business levy linked to defence funding
The coalition aims to maintain a stable investment climate by avoiding increases in the corporate tax rate (vennootschapsbelasting) to ensure a level European playing field. Instead of a direct tax hike, a new Freedom Contribution for Businesses has been planned as part of efforts to strengthen national security and defence funding. This measure would take effect in 2028 and be implemented by increasing the Aof premium contribution that finances the disability fund.
Property transfer tax adjustment for non-residents
From 2027, the transfer tax rate for residential properties purchased by buyers who do not intend to live in the property, such as landlords or buyers of holiday homes, would be reduced. The rate is set to fall from 8% to 7%, easing the tax burden on this category of transactions.
Higher VAT on ornamental plants and a new sugar tax
The coalition also plans to abolish the reduced VAT rate for ornamental plant products from 2028, raising the applicable VAT from 9% to 21%.
In addition, a sugar tax would be introduced on pre-packaged food products containing 6% or more sugar, aiming to influence consumption patterns and support public health objectives.
Other notable measures include:
- The WBSO (R&D tax credit) will be expanded to include AI and new technologies.
- The Innovation Box and Business Succession Scheme will remain intact to support innovation and family businesses.
- The national CO2 levy for industry will be abolished.
- The gasoline reduction will be extended to keep driving affordable.
- A potential future reform could base the tax on vehicle size or surface area, ensuring that rural residents are not adversely affected.
- The Netherlands will advocate for a uniform flight tax to replace the current national ticket tax.
