Taxpayers in the Netherlands will be able to file their 2025 income tax returns starting March 1, 2026. The annual filing process offers opportunities to reduce tax liability through various deductions, and experts recommend gathering supporting documentation now to ensure a smooth process.
Understanding the Dutch Income Tax Filing Process
The filing period for 2025 income taxes runs from March 1 to May 1, 2026. Many individuals find themselves missing key documents, such as annual statements or prior property value assessments, when completing their returns. While the tax authorities pre-populate much of the required information, it remains crucial for taxpayers to verify its accuracy.
certain expenses may be deductible, a benefit not automatically applied by the tax service. These deductions require taxpayers to provide supporting documentation, such as receipts or statements. Understanding available deductions is key to minimizing tax obligations.
The specific deductions available and the amounts eligible for reduction vary based on individual circumstances. The following outlines some of the most common deductions available to Dutch taxpayers.
Read also: Applying for an extension to file your tax return: how does it work?
Deducting Healthcare Expenses
Individuals with significant healthcare costs, particularly those with chronic conditions, disabilities, or age-related health needs, may be eligible to deduct certain expenses.
Eligible expenses include specific transportation costs, dietary expenses prescribed by a physician or dietitian, travel vaccinations, and certain prescription medications exceeding statutory contributions. A comprehensive overview of qualifying expenses can be found on the tax authority’s website.
Deductions for healthcare expenses are subject to certain conditions, including a minimum threshold. Expenses covered by insurance are not eligible for deduction.
Deducting Healthcare Costs for Dependents
Taxpayers may also be able to deduct healthcare costs incurred for others, provided they meet specific criteria. This is possible if the taxpayer directly pays the costs and the individual is one of the following:
- Their fiscal partner or children under 27 years of age.
- Parents, siblings, or other family members living in the household who are dependent on their care.
- Severely disabled individuals aged 27 or older residing in the household who would otherwise qualify for residential care.
Deductible expenses include travel costs for hospital visits, laundry costs, expenses for extra clothing and bedding, and medication costs. A complete list of eligible expenses and associated conditions is available here.
Charitable Donations
Donations to registered charities, churches, and political parties are often deductible. However, certain conditions apply:
- Donations must be made to an ANBI (General Benefit Institution) or an association.
- Proof of donation, such as a bank statement, must be provided. Cash donations are not deductible.
There are also additional conditions and a threshold amount. Donations below the threshold are not deductible, while only the amount exceeding the threshold is eligible for deduction.
Commuting Costs and Travel Allowance
Individuals who commute using public transportation may be eligible for a travel allowance. Under certain conditions, a fixed amount can be deducted from their income. The specific amount depends on the distance and frequency of travel, as well as the mode of transportation.
Actual travel costs are not deductible, and any reimbursement received from the employer must be deducted from the fixed allowance.
Mortgage Interest and Homeownership Expenses
For homeowners, the annual mortgage statement, property value assessment, and invoices for deductible expenses are essential. Taxpayers may be able to deduct mortgage interest payments and certain costs associated with purchasing a home or securing a mortgage, such as notary fees and appraisal costs.
Periodic payments for leasehold, ground lease, or similar arrangements are also deductible.
Premiums and Contributions for Supplementary Pensions
Premiums paid for life insurance policies or contributions made to life insurance accounts or investment funds may be deductible, provided certain conditions are met and sufficient annual and/or reserve space is available.
Deducting Partner Support Payments
Individuals who are divorced and pay alimony may be able to deduct a portion of these payments from their taxable income. In 2025, the deduction for incomes above 76,817 euros is capped at 37.48 percent. In 2026, for incomes above 78,426 euros, paid partner support is deductible up to a maximum of 37.56 percent.
Those receiving partner support payments must report the amount as income and pay taxes on it.
Additional Costs for Caring for a Severely Disabled Person
Individuals who provide weekend or vacation care for a severely disabled person aged 21 or older who typically resides in a long-term care facility may be eligible to deduct additional expenses.
Understanding the Impact of Deductions
It’s important to note that a deduction of 1,000 euros does not translate directly into 1,000 euros in savings. Deductions reduce taxable income, which may result in lower tax liability or a refund. The actual savings depend on the taxpayer’s tax bracket. Taxpayers are not required to submit supporting documentation with their return, but the tax authorities may request it. We see advisable to retain all relevant documents.
Read also: A trial calculation, even if you don’t have to file a tax return: why and how?
Claiming Deductions Retroactively
Taxpayers can amend previous tax returns to claim missed deductions within a five-year period. In 2026, deductions from 2021 can still be claimed. For those needing assistance with their tax return, resources are available from the tax authorities.
(Source: Archive, Dutch Government, Tax Authority, Nibud, Consumers’ Association. Photo: Shutterstock)
