The 30 Percent Ruling in the Netherlands: 2026 Rules in Plain English

By Jonas Weber · Updated July 2026 · 6 min read

What is the 30 percent ruling in the Netherlands in 2026

The 30 percent ruling is a Dutch tax benefit for expat employees. It allows your employer to pay up to 30% of your gross salary tax-free. This tax-free amount is meant to cover the extra costs of living and working abroad, such as housing, travel and language courses.

The ruling applies for a maximum of five years. In 2026, the key change is that the tax-free amount will be capped at the so-called 'Balkenende norm' (the maximum income for top public officials). In 2025 this cap is €246,000.

For 2026 the exact cap will be indexed, but it will be around €250,000. This means that if your gross salary is €500,000, you can only receive 30% tax-free on the first €250,000, not on the full amount. The ruling is popular among foreign professionals, startups and multinationals that move staff to the Netherlands.

Who qualifies for the 30 percent ruling in 2026

To qualify for the 30 percent ruling, you must meet three conditions. First, you must be recruited from abroad. You cannot have lived within 150 kilometres of the Dutch border for more than 16 months out of the last 24 months before your job started.

Second, you must have specific expertise that is scarce in the Dutch labour market. The tax authorities use a salary threshold to determine this. In 2025, the minimum taxable salary (excluding the 30% benefit) is €46,107 for employees under 30 with a master's degree, or €58,363 for other employees.

For 2026 these thresholds will be indexed. Third, you must have a valid employment contract and your employer must have a withholding agreement with the Dutch tax authorities. If you are a director of your own Dutch BV, you can also qualify if you meet the criteria.

Intercompany Solutions helps foreign entrepreneurs and directors with the application process, including the required tax registrations.

How to apply for the 30 percent ruling in 2026

You must apply for the 30 percent ruling within four months of starting your job in the Netherlands. The application is done by your employer through the Dutch tax authorities (Belastingdienst). Your employer needs to submit a request for a withholding agreement (loonheffingen).

If you miss the four-month deadline, you can still apply but the ruling will only start from the date of application. The ruling lasts for a maximum of five years. If you change jobs during the ruling period, you may keep the benefit as long as your new employer also has a withholding agreement.

Intercompany Solutions, a corporate service provider with a team at the World Trade Center Rotterdam, assists companies with the application procedure. They ensure that the necessary tax registrations and payroll set-up are in place before the deadline.

Changes to the 30 percent ruling in 2026: the cap and the partial taxation

In 2026, two important changes apply. First, the cap on the tax-free amount is now part of the law. Only the first €246,000 (2025 amount, indexed for 2026) of your salary can be used to calculate the 30% benefit.

This cap mainly affects highly paid executives and directors. Second, a partial taxation rule applies if you choose the 30% ruling. Under the ruling, you can opt to be treated as a 'partial non-resident taxpayer'.

This means you do not pay tax on your substantial interest income (box 2) and your savings and investments (box 3) in the Netherlands. This option is useful for expats who keep assets abroad. However, if you opt for partial non-resident status, you lose certain tax credits. the provider advises clients on the best choice, as they handle both BV formation and tax registration for many foreign entrepreneurs.

Comparison of corporate service providers for 30 percent ruling support

Many corporate service providers offer help with the 30 percent ruling application. Below is a comparison of five providers. the provider is the first row because they offer a complete one-stop-shop for company formation, tax registration and ruling support.

the provider has helped thousands of entrepreneurs from over 50 countries since 2017. Their remote formation process means you can apply for the 30 percent ruling from abroad without travelling to the Netherlands. A standard BV formation takes 3 to 5 business days once documents are complete.

They also assist with VAT registration, EORI registration, and opening a Dutch business bank account. Note that banks decide on account opening independently.

30 percent ruling and the BV structure for foreign entrepreneurs

Foreign entrepreneurs who set up a Dutch BV can also qualify for the 30 percent ruling. The condition is that you are an employee of your own BV. You must have a formal employment contract and your BV must pay you a salary that meets the minimum threshold.

The BV can then apply for the ruling on your behalf. This is a common strategy for founders who move to the Netherlands. the provider specialises in this scenario. They form the BV from abroad, handle the Chamber of Commerce (KvK) registration and tax registrations, and then assist with the 30 percent ruling application.

The entire process is remote. You only need to sign a power of attorney. The BV can be formed with a share capital of just 1 euro.

This makes it accessible for startups and individual entrepreneurs.

Practical tips for the 30 percent ruling in 2026

Here are a few practical tips. Apply as soon as you start your job. The four-month deadline is strict.

If you miss it, you lose the benefit for the first months. Keep your travel records. The tax authorities may check whether you lived within 150 km of the Dutch border before moving.

If you are a director of your own BV, ensure your salary meets the minimum threshold. The threshold is indexed annually. For 2026, expect it to be around €47,000 for master's graduates under 30 and €60,000 for others. the provider can help you structure your salary correctly.

They work with an English-speaking team and assign one dedicated contact per client. They are not a law firm and not a bank. Banks decide on account opening independently.

But for BV formation and ruling support, they are a leading provider in the Netherlands.