Essential tips and need-to-know dates for filing your 2024 taxes
In this article, Blue Umbrella shares some essential tips and important dates to keep in mind as you prepare for the upcoming tax season.
Tax season is coming up, and it's time to prepare for your 2024 income tax return. With the right information and preparation, you can make sure it all goes smoothly. Here are the top things you need to know to make filing your 2024 taxes a breeze!
Important dates for your calendar
Make sure you mark these dates in your calendar! Even small preparations like this can help you feel less stressed and more on top of what you need to know.
- March 1, 2025: The Dutch tax office starts accepting income tax submissions for tax year 2024.
- April 1, 2025: Early submission deadline for tax year 2024. If you file by this date, the Dutch tax office will try to send you a decision before July 1, 2025.
- May 1, 2025: Final deadline for filing your tax return.
Tips for a worry-free tax season
Even when you know what you are doing, filing your taxes can be nerve-wracking, but following these tips can help keep you feeling calm and in control.
Start early
Don't wait until the last minute. You can start filing your tax return as early as March 1, 2025. By starting early, you avoid unnecessary stress and have enough time to gather all the necessary documents.
Request timely postponement if necessary
Do you already know you won't manage to file your tax return before May 1, 2025? Then apply for a postponement with the Tax Office or your tax advisor before this date. You may be granted an extension for your income tax filing submission.
- Be aware: If you defer, the Dutch Tax Office is still allowed to charge interest on any tax due, as the request is made to delay the filing of taxes, and not the payment.
Be aware of recent changes
There are some important changes for the 2025 tax year. In summary, these are:
- A new third bracket in Box 1
- Changes in Box 2 for shareholders and business owners
- New options in Box 3 for savers and investors
- Adjustments to the general tax credit and work tax credit
Below is all you need to know about these updates.
New Box 1 brackets
One of the most notable changes is the introduction of a third tax bracket in Box 1, covering income from work and home.
The new Box 1 brackets are:
- 35,82 percent for incomes up to 38.441 euros
- 37,48 percent for incomes between 38.441 euros and 76.817 euros
- 49,50 percent for incomes above 76.817 euros
This adjustment will result in a higher net income for many households. For example, if you work full-time at minimum wage, you can expect a monthly increase of 58 euros.
Changes to Box 2
For expats with shares or their own business, there are changes in Box 2 that may affect you. The tax rate in the top bracket of Box 2 will be reduced from 33 percent to 31 percent. The new rates are:
- 24,5 percent for an income of up to 67.804 euros
- 31 percent for incomes above 67.804 euros
Changes to Box 3
In Box 3, which deals with income from savings and investments, from 2025 it will be possible to prove that your actual return is lower than the flat-rate return. In that case, you will only pay tax on your actual return.
Adjustments to tax credits
Both the General Tax Credit, which is a tax credit that applies to everyone, and the Working Tax Credit are also different this year.
General Tax Credit
In 2025, the maximum amount of the General Tax Credit will be reduced from 3.362 euros to 3.068 euros. In addition, the calculation will now be based on your combined income (the total income in Boxes 1, 2 and 3) instead of just your income in Box 1.
Working Tax Credit
The Working Tax Credit will increase in 2025. The maximum amount you can receive has been increased to 5.599 euros, up slightly from 5.532 euros in 2024. The amount of the working tax credit depends on your age and the amount of your earned income.
Start preparing now
Be wise and don't leave filing your tax return to the last minute. Find a tax expert and make it a stress-free spring.
Need help with your 2025 tax return? Blue Umbrella offers fixed-fee tax filing services for expats in the Netherlands. They also offer support for small business owners and entrepreneurs.
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