Major financial changes are on the way for residents of the Netherlands after Prinsjesdag 2025. The government has announced its key tax and property plans for 2026, which will affect homeowners, investors, and workers, according to the latest national budget proposal.
Changes for homeowners and buyers
Homeowners can expect higher property-related taxes. The official value of homes, known as the WOZ value, is projected to increase by 9.5% to 11.5% in 2026. Since local taxes are based on this value, many will see their bills rise.
There is some good news for property buyers. The tax exemption for first-time buyers under 35 will apply to homes worth up to €555,000, an increase from the previous limit. In addition, the transfer tax for properties that are not a main residence, such as a rental home, will be lowered from 10.4% to 8%.
Taxes on income, savings, and investments
The tax on savings and investments is set to become heavier. The government will assume a higher rate of return on assets like stocks and second homes, raising it to 7.78%. At the same time, the amount you can hold tax-free will decrease from €57,684 to €51,396 per person. This means many people with savings or investments will pay more tax.
Changes to income tax are more modest. The tax rate for the lowest income bracket will see a small decrease. The income threshold for the highest tax rate will also be raised slightly, meaning fewer people will pay the top rate of 49.5%.
- Official property values are expected to rise significantly, leading to higher local taxes.
- The tax-free amount for savings and investments will be lower.
- First-time homebuyers receive a larger tax break.
- The tax rate for buying investment properties will be reduced.
