Draft proposal to amend Tax Laws of the BES Islands
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On Wednesday, April 29, 2026, the draft law proposing amendments to several tax laws and certain other laws relating to the BES islands was submitted to the House of Representatives of the States General of the Netherlands.
This draft proposition for adjustments to the tax law for the BES Islands to measures that are intended to take effect on January 1, 2027.
Real Estate Tax
It is proposed to increase the real estate tax rate for hotels owned by legal entities from 11% to 12%.
General Expenditure Tax (ABB)
It is proposed that, upon request and subject to certain conditions, a fiscal unity for the general expenditure tax (ABB) may be established between a parent company and its subsidiaries. Under such a fiscal unity, services and supplies exchanged between the parent company and its subsidiaries would not be subject to ABB. This measure is intended to reduce cascading tax effects within corporate groups and may ultimately contribute to lower prices for end users of services and products.
Transfer Tax
The proposed amendment to the transfer tax concerns an exemption under which the transfer of agricultural land may be exempted from transfer tax. This measure is also intended to stimulate local agriculture by reducing fiscal barriers.
Formal tax law and collection measures
Firstly, it is proposed to introduce a statutory power allowing motor vehicles to be immobilized in order to enforce a writ of execution.
Furthermore, it is proposed to introduce a legal basis permitting writs of execution to be served by post, while maintaining the legal protection of residents and businesses in the BES islands.
Also, a proposal is made to remove the obligation in the Belastingwet BES requiring employers to submit a collective wage statement (verzamelloonstaat), since this obligation is already included in the Wage Tax Act BES.
It is proposed to extend the period for imposing a default penalty on an administration-liable person who fails to provide the inspector with
information concerning third parties performing work, from one year to four years after the end of the calendar year to which the information relates.
Personal Income Tax
Firstly, it is proposed to repeal the provision governing the allocation of deductions between spouses in the year of separation of property.
Additionally, to avoid uncertainty regarding which of the three minimum wage amounts should be used to determine the tax-free allowance for all residents of the BES islands, it is proposed to clarify that the tax-free allowance will always be linked to the statutory minimum wage applicable.
Wage tax – work car
As of 1 January 2027, it is proposed to end the link between the standard amount for the customary salary scheme and the tax-free allowance. Instead, the amount will be indexed annually using the table correction factor, which is expected to moderate future increases. It is also proposed to introduce a final levy for company cars used interchangeably by multiple employees where it is difficult to determine individual use.
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