October 4, 2022
Netherlands announces limitations to 30%-facility
On September 20, the Netherlands Government announced, among others, detailed plans to amend the 30%-facility. The most important change is the introduction of a cap on the salary to which the 30%-facility can be applied. Note that the plans are subject to approval of the House of Representatives and the Senate. One of the main benefits of the 30%-facility is that up to 30% of the Dutch taxable current employment income can be paid as a tax-free allowance to cover additional living costs. Currently, no maximum compensation applies.
A Tax Alert prepared by EY's People Advisory Services group, and attached below, provides additional details.
Full text of Tax Alert