Filing for income tax returns in the Netherlands

Broadstreet - News - - Filing for income tax returns in the Netherlands

January 27th, 2014

The start of the year doesn’t just bring New Year’s resolutions, but also the need to settle your income tax return. In this article Broadstreet explains the procedure and takes you through the basic steps.

In the Netherlands, the fiscal year runs from January 1 to December 31. Around the first week of February the tax authorities start sending invitations to submit your income tax return. In general, the tax return has to be submitted before April 1.
If you receive the tax form much later than February, a different submission date will be applicable. This date will be mentioned on the form.

Extension for filing income tax returns

If you cannot meet the deadline for filing the return, you can request for an extension. The tax authorities will impose a penalty for late filing, so it is important to keep a close eye on the deadline.

The different types of income tax forms

The tax authorities issue different types of tax forms:
• P form
Most common tax form for those who are in a regular employment situation and have resided in the Netherlands the entire year.
• M form
for those who arrived in the Netherlands during the year and became a resident or for those who were a resident and left the Netherlands during the year.
• C form
for non-residents who have had Dutch sourced income during the year.
• W form
for those who have had income from self employment.
• F form
for relatives of a deceased person.

How the Dutch tax system works

If you work in an employment situation, payroll tax is withheld from your salary. If you work in an employment situation the full year, you will most likely not have to pay any additional income tax. If you are in such a situation, you will probably not even receive an invitation from the tax authorities.

If you haven’t received an invitation to submit your return, you can request the tax authorities to issue a tax form on your behalf. For instance, if you know you have to report income to the tax authorities that hasn’t been taxed yet, you are obliged to request a form and submit your tax return.

On the other hand, if you have had tax deductible expenses, you may want to submit your return to reclaim taxes.
Deductible expenses are e.g. tuition fee for a course/study/MBA which enables you to earn income, restricted expenses for medical expenses, alimony, expenses for historic buildings, donation.
However, even in case you do not have anything to declare, other than your regular employment income; it may still be worthwhile to submit a return.
For instance, if you and your partner both work and have a child under the age of 6. In that case you may be entitled to the income depending combination tax credit, which is max. € 2,133.

How to file for Dutch income tax return

If you do not use the service of a financial advisor, you can also file the tax return yourself.

The tax return has to be submitted electronically for which you can download the software program from the website
Once completed, you can submit the return electronically by using your digiD. In case you do not yet have a digiD, you can you request one through

After submitting your income tax return

After you have submitted your tax return, you will receive a preliminary assessment from the tax authorities. In case you were invited by the tax authorities to submit your return before 1 April, and you have indeed filed your return before this date, you will receive notice from the tax authorities before 1 July.

In any other case, it may take around 10 to 12 weeks before the tax authorities send you a notice. And if your tax return was submitted with either a C or an M form, it may even take up to 24 weeks or more.

Initially you will receive a preliminary assessment from the tax authorities, which is based on the tax return, but without being checked by the tax authorities. Once they have checked the return, a final assessment will follow.

Filing your first year’s tax return with an M form

If you came to live or work in the Netherlands in the course of the year or left the Netherlands in the course of the year, then filing a tax return may be advantageous for you.

Dutch wage and income tax is calculated on the basis of four progressive tax brackets. The higher your income, the higher your tax bracket. The wage tax that is withheld at source from your salary is levied on the basis of your estimated annual salary, which is then calculated back to a monthly amount.
Therefore, if you have only worked for half a year in the Netherlands, your gross annual salary will be lower than estimated. The amount of wage tax withheld will therefore be too high. An income tax return will result in a rebate of this wage tax.

Should you have just found out you were probably entitled to a rebate for previous years, but you never filed a tax return, no worries!
You can file your tax returns retrospective for five years. So it is still possible to file your 2007 tax returns up until 31 December, 2013.

In short, it may be worth your while to file an income tax return, even if you have not received an invitation yet!

Daniel Sokolov
Daniel Sokolov
14:41 06 Dec 18
Thank you Broadstreet!!!first I have to say that my knowledge in taxes is 0%.I'm checked a lot before I find a Broadstreet team and I'm really glad.they are professional helpful and helped me step by step with everything what I ask for.Thanks again to everyone
Dehlia Kruger
Dehlia Kruger
14:08 01 Sep 18
We are extremely happy and satisfied with the service we received from Broadstreet, Elisabeth Bouwer in particular. Financial information was accurate to the cent, and every promise given was kept. Highly recommended!
Susie Breuer
Susie Breuer
15:33 30 Aug 18
I have used Broadstreet for around 10 years for tax purposes within Holland. I found them knowledgable, responsive and very professional. I would highly recommend them as an expat tax service.
Benedict Carey
Benedict Carey
13:43 06 Nov 17
Having been bounced around a few tax advisors and almost got my self in hot water by being told the wrong thing, I got a recommendation from another person who had a similar business structure to me. The Broadstreet advisor was efficient and thorough and provided a comprehensive and understandable summary of how to deal with my situation. Relocating between regimes with complex tax laws is never going to be straightforward, at least these guys do put the effort in ... beware of others who will make a suggestion and then disappear when it goes haywire!
marco lirio diaz
marco lirio diaz
09:41 24 Jun 17
Great services,thorough and real professionals. As an expat I highly recommend Broadstreet. I had some issues with my tax and they manage to solved the problem avoiding a penalty fee. If you don't want to worry about the complex Dutch Tax, I recommend to leave it on their hands to be sort it for you.
Deny George
Deny George
18:08 19 Dec 19
Fantastic service and professional advice in really fast time manner. My advisor was Anne and she did excellent on explaining how the tax system works in my case what to do and how to manage to get around as Expat worker who just moved to Netherlands. Absolutely recommended!
Dimitrios Vlachopoulos
Dimitrios Vlachopoulos
22:25 19 Dec 19
Excellent experience with the creation of my BV, as well as 30% ruling. I enjoy working with Elisabeth, who is very responsive and efficient
Nestor Leal
Nestor Leal
09:03 12 Nov 19
Broadstreet has been a true partner in all my business affairs in the Netherlands. They provide honest, accurate and useful advise in tax, payroll and accounting matters.They will help your business thrive. ;-D
Ari S
Ari S
14:22 04 Dec 19
Absolutely HORRIBLE firm. Rude people and totally unknowledgeable. It took another firm a year to fix all the issues/mistakes Broadstreet made on my taxes and 30 application. They tried to charge me additional fees to fix their mistakes.DO NOT RECOMMEND AVOID AT ALL COSTS
James Mckerrow
James Mckerrow
08:38 29 Jul 19
This firm is Absolutely Excellent! Consultancy and Execution is 1st rate - probably the best ever experience that I have had with a Dutch company!
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