Important Tax Changes for Expats in the Netherlands in 2026

If you're currently benefiting from the 30% ruling or planning your move, you've likely heard rumblings about upcoming changes.

Based on official government sources and recent tax plans, here is a breakdown of what you need to know about the important changes coming for expats in 2026.

The 30% Ruling Percentage Stays Put (For Now)

Let's start with some good news. There was a lot of talk about the 30% ruling being scaled back, but for the entire year of 2026, the tax-free allowance percentage remains at 30%.

The government's plan to reduce this to a 27% ruling has been pushed back and is now scheduled to take effect from January 1, 2027. So, for 2026, your benefit percentage will not change.

Salary Thresholds Are Increasing

As with every year, the minimum salary you need to earn to qualify for the 30% ruling will be adjusted for inflation. For 2026, the provisional salary thresholds are set to increase:

• Standard Salary Threshold: The required taxable annual salary will rise to approximately €48,013 (up from €46,660 in 2025).
• Lower Threshold for Master's Graduates Under 30: For qualifying young professionals, the threshold will increase to approximately €36,497 (up from €35,468 in 2025).

Remember, these figures are for your taxable salary, which is the amount after the 30% allowance has been deducted.

The Salary Cap (WNT Norm) Rises

Since 2024, there has been a cap on the maximum salary against which the 30% ruling can be applied, known as the "Balkenende-norm" or WNT standard. In 2026, this cap will increase to €262,000 (up from €246,000 in 2025).

This means you can only apply the 30% tax-free allowance to your salary up to this €262,000 limit. Any income above this amount will be taxed at the regular progressive rates.

Important Note on Transitional Rules: If you started using the 30% ruling before January 1, 2023, you have enjoyed a grace period. However, 2026 is the year this cap will apply to you for the first time.

The Final Year for Partial Non-Resident Tax Status

This is arguably the most significant change for many long-term expats. The "partial non-resident taxpayer status" (partiële buitenlandse belastingplicht) has allowed many expats with the 30% ruling to be exempt from paying Dutch tax on their worldwide savings and investments (Box 3).

This status was abolished for new applicants starting in 2024. However, a transitional rule allowed existing users to keep it for a few more years. 2026 is the final year you can benefit from this transitional arrangement.

From January 1, 2027, all residents of the Netherlands, regardless of the 30% ruling, will be fully taxable on their worldwide income and assets. This could have a major impact on your tax bill, so it's crucial to start planning for this change now.

Changes to the ETK Scheme

For employees who do not qualify for the 30% ruling but whose employers reimburse their "extraterritorial costs" (ETK) tax-free based on actual expenses, the rules will tighten in 2026.

From January 1, 2026, reimbursements for costs related to utilities (gas, water, electricity) and private telephone calls to your home country will no longer be considered tax-free extraterritorial costs.

Time to Plan Ahead

While 2026 offers a year of relative stability for the 30% ruling percentage itself, the incoming changes, especially the salary cap for older cases and the final sunset of the partial non-resident status, are substantial.

We strongly recommend consulting with a qualified financial advisor or tax specialist to understand how these changes will specifically affect your personal financial situation and to plan accordingly for the years ahead.