Dutch Corporate Income Tax Act 1969 (Wet op de vennootschapsbelasting 1969) in English
The Dutch corporate income tax act in full, as in force from 1 January 2026: tax liability, profit determination, the participation exemption, fiscal unity, interest limitations, rates and transfer pricing documentation. Full English translation with the official Dutch under every paragraph.
Card
- Official title
- Wet van 8 oktober 1969, houdende vervanging van het Besluit op de Vennootschapsbelasting 1942 door een nieuwe wettelijke regeling (Wet op de vennootschapsbelasting 1969)
- In English
- Corporate Income Tax Act 1969 (“Wet Vpb 1969”)
- Published
- Staatsblad 1969, 445
- Articles
- 170 articles in eight chapters, 18 of them repealed
- Version translated
- Consolidated text valid from 1 January 2026 (identifier BWBR0002672), the version in force on 30 October 2026
- Rates in this version
- 19% on the first €200,000 of taxable amount, 25.8% above (Art. 22)
- Related acts
- Dividend Tax Act 1965, Withholding Tax Act 2021, Minimum Tax Act 2024 (Pillar Two), General State Taxes Act
- Authentic language
- Dutch
- Official source
- wetten.overheid.nl
The text in 9 parts
Which entities pay Dutch corporate income tax, the incorporation rule, reverse hybrids, and the exemptions for pension funds, public bodies and others. 10 articles.
Arts. 7–12abisTaxable amount and general rules on profitTaxable amount, the arm’s length principle and the 2022 mismatch rules, non-deductible costs, interest limitation for tainted related-party debt, and other profit rules. 24 articles.
Arts. 12aa–12cHybrid mismatches and the innovation boxThe ATAD 2 hybrid mismatch rules, the innovation box for profits from qualifying intangibles, and the group interest box. 16 articles.
Arts. 13–13lParticipation exemptionThe 5% participation exemption, the portfolio-investment tests, CFC rules, valuation of low-taxed portfolio participations and liquidation losses. 18 articles.
Arts. 14–14cBusiness mergers, divisions and legal mergersTax-neutral business mergers, legal divisions and mergers, and the tax-free return of a business from a BV to its owner. 5 articles.
Arts. 15–15aFiscal unityTax consolidation of a parent and its 95% subsidiaries: conditions, joining and leaving, losses and the anti-abuse rules. 16 articles.
Arts. 15b–16Earnings stripping, exit tax and the object exemptionThe earnings-stripping rule (24.5% of EBITDA or €1 million), minimum capital for banks and insurers, final settlement on emigration, the object exemption for foreign permanent establishments, and gifts. 18 articles.
Arts. 17–27Non-residents, losses, rates and levyTaxation of non-resident companies, loss relief, the 19% and 25.8% rates, the participation credit, and how the tax is levied. 22 articles.
Arts. 28–39Special regimes, transfer pricing documentation, anti-abuseFiscal and exempt investment institutions, transfer pricing documentation (master file, local file, country-by-country report), the general anti-abuse rule and transitional provisions. 41 articles.
In short
- NVs, BVs, cooperatives and other entities established in the Netherlands are taxed on their worldwide profit; an entity incorporated under Dutch law is always deemed established in the Netherlands (Art. 2).
- The rate is 19% on the first €200,000 and 25.8% above (Art. 22).
- Dividends and capital gains from a participation of at least 5% are exempt, unless the participation is a low-taxed portfolio investment (Art. 13).
- A parent and its 95% subsidiaries can form a fiscal unity and be taxed as one (Art. 15).
- Net interest expense is deductible only up to the higher of 24.5% of tax EBITDA and €1 million (Art. 15b); interest on related-party debt linked to tainted transactions is not deductible at all (Art. 10a).
- Losses can be carried back one year and forward without time limit, but set off only up to €1 million plus 50% of the profit above that (Art. 20).
- Transactions with related entities must be at arm’s length (Art. 8b); large groups keep a master file, local file and country-by-country report (Art. 29b–Art. 29h).
- Profits from qualifying self-developed intangibles can fall into the innovation box (Art. 12b); profits of foreign permanent establishments are exempt (Art. 15e).
Who it affects
- Foreign groups with a Dutch holding, finance or operating company.
- Founders whose Dutch BV pays dividends to them or receives dividends from subsidiaries.
- Finance and tax teams preparing Dutch corporate income tax returns and transfer pricing documentation.
- Advisers checking how a Dutch rule reads in the statute rather than in a summary.
Key dates
| Date | Event |
|---|---|
| 8 October 1969 | Act adopted, replacing the Corporate Income Tax Decree 1942 (Stb. 1969, 445) |
| 1 January 2003 | Revised fiscal unity regime (Stb. 2002, 618) |
| 1 January 2019 | ATAD 1: earnings-stripping rule and CFC rules (Business Act 2019, Stb. 2018, 505) |
| 1 January 2020 | ATAD 2: hybrid mismatch rules (Stb. 2019, 508) |
| 1 January 2022 | Unlimited loss carry-forward with the €1 million + 50% cap (Stb. 2020, 540); arm’s length mismatch rules, Art. 8ba–8bd (Stb. 2021, 654) |
| 1 January 2025 | Earnings stripping raised to 24.5% of EBITDA; general anti-abuse rule codified (Stb. 2024, 434 and 435) |
| 1 January 2026 | Date of the consolidated version translated here |
BCA commentary
What makes a Dutch holding work
The participation exemption of Art. 13 is the reason the Netherlands is a holding location: dividends and capital gains on a shareholding of at least 5% are exempt, without a minimum holding period. The exemption does not apply to low-taxed portfolio participations, tested in Art. 13 onwards: for those, a credit system applies instead (Art. 23c). Liquidation losses on participations are deductible only within limits (Art. 13d).
Interest: three filters
Interest deduction passes three filters. Related-party debt used to fund tainted transactions, such as dividend distributions or capital contributions within the group, is non-deductible under Art. 10a unless business reasons are shown. All net interest is then capped at 24.5% of tax EBITDA or €1 million, whichever is higher (Art. 15b). And intra-group terms must be at arm’s length (Art. 8b), with deductions denied since 2022 where the other side does not include the corresponding income (Art. 8ba–Art. 8bd).
Fiscal unity
A parent with at least 95% of the shares, votes, profits and assets of a Dutch subsidiary can file as one taxpayer with it (Art. 15). Losses offset profits across the group and intra-group transactions disappear. Leaving the fiscal unity has consequences for losses and for assets transferred within it, which the following articles regulate in detail.
Losses
Since 2022 losses can be carried forward indefinitely, but in any year they can be set off only up to €1 million plus 50% of the profit above €1 million (Art. 20). Carry-back is one year. A significant change in ownership can end the right to carry losses forward (Art. 20a).
Anti-abuse and documentation
The Act now contains a codified general anti-abuse rule (Art. 29i) alongside the specific rules: CFC rules for low-taxed controlled entities (Art. 13ab), the hybrid mismatch rules (Art. 12aa–Art. 12ag) and the substance requirements that run through the participation exemption and interest rules. Groups with consolidated revenue of at least €50 million keep a master file and local file; groups with €750 million or more also file a country-by-country report (Art. 29b–Art. 29h).
Pillar Two is elsewhere
The 15% global minimum tax is not in this Act but in the Minimum Tax Act 2024 (Wet minimumbelasting 2024), which applies to groups with consolidated revenue of at least €750 million. This Act refers to it where the two interact, for example for qualifying domestic top-up tax.
Amendment history
Acts that gave the articles of the Act their current wording, from the official metadata of wetten.overheid.nl, with the articles they touch. Most changes come through the annual Tax Plan (Belastingplan) and its companion acts.
| Act | Articles |
|---|---|
| Stb. 1969, 445 Corporate Income Tax Act 1969 (enactment) | Art. 1 |
| Stb. 1989, 491 Introduction of the new Civil Code (adaptation of tax and other acts) | Art. 19 |
| Stb. 1991, 697 Tax treatment of maintenance provisions, savings and insurance | Art. 33a |
| Stb. 1994, 938 Relief for foreign withholding tax on participation dividends | Art. 8a |
| Stb. 1996, 652 Revision of substantial interest, consumer interest and wealth tax | Arts. 36, 38, 39 |
| Stb. 1996, 659 Opening of tax appeals to two instances | Art. 32 |
| Stb. 1997, 510 General Administrative Law Act adaptation act (third tranche) | Art. 28a |
| Stb. 2000, 216 Income Tax Act 2001 (Implementation) Act | Arts. 23, 31a, 31b, 31c |
| Stb. 2000, 567 Entrepreneurs Package Act 2001 | Art. 31c |
| Stb. 2000, 570 Income Tax Act 2001 repair act | Art. 29 |
| Stb. 2001, 639 Tax euro adaptation act | Art. 11 |
| Stb. 2001, 641 Tax Plan 2002 II (economic infrastructure) | Art. 15d |
| Stb. 2002, 617 Tax Plan 2003 Part II | Art. 15ai |
| Stb. 2002, 618 Revision of the fiscal unity regime | Arts. 15ai, 24, 26, 30, 37 |
| Stb. 2005, 603 Technical Repair Act 2005 | Arts. 10c, 21 |
| Stb. 2005, 684 Amendment of certain tax acts (December 2005) | Art. 13ca |
| Stb. 2006, 44 Implementation of Directive 2003/123/EC (Parent-Subsidiary Directive amended) | Art. 13g |
| Stb. 2006, 631 Working on Profit Act (Werken aan winst) | Arts. 10b, 12c, 13bb, 13f, 13g, 13h, 13i |
| Stb. 2008, 565 Tax Plan 2009 | Art. 31 |
| Stb. 2010, 363 BES Monetary System Act | Art. 15c |
| Stb. 2011, 585 Interim rules on currency results on participations | Art. 28b |
| Stb. 2011, 639 Tax Plan 2012 | Arts. 12, 13c, 15g, 15h, 15j, 33d |
| Stb. 2012, 321 Tax measures of the 2013 Budget Agreement | Art. 23b |
| Stb. 2012, 544 Tax Omnibus Act 2012 | Art. 9a |
| Stb. 2012, 668 Tax Plan 2013 | Art. 10d |
| Stb. 2012, 670 Revision of the tax treatment of the owner-occupied home | Art. 34a |
| Stb. 2013, 565 Tax Plan 2014 | Art. 34b |
| Stb. 2014, 481 Tax Omnibus Act 2014 | Art. 8b |
| Stb. 2015, 145 Revision of the rules on approved housing institutions | Art. 8d |
| Stb. 2015, 158 Compartmentalisation Reserve Act | Art. 34c |
| Stb. 2015, 207 Corporate income tax for public enterprises (modernisation) | Arts. 6c, 33 |
| Stb. 2015, 540 Other Tax Measures 2016 | Arts. 8g, 29b, 29f, 29g |
| Stb. 2015, 543 Implementation of the 2015 amendments to the Parent-Subsidiary Directive | Art. 13aa |
| Stb. 2016, 479 Fiscal Unity Adjustment Act | Arts. 7, 15ag |
| Stb. 2016, 544 Tax Plan 2017 | Arts. 12bc, 12bf, 12bg, 34d |
| Stb. 2017, 115 Phasing-out of pension in own management and other pension measures | Arts. 23a, 31d, 34e |
| Stb. 2017, 215 Additional rules on the exchange of country-by-country reports | Arts. 29c, 29d, 29e |
| Stb. 2017, 518 Other Tax Measures 2018 | Arts. 8c, 12ba, 12bb, 34, 34f, 34g |
| Stb. 2018, 505 Business Act 2019 (ATAD 1 implementation, rate cuts) | Arts. 12be, 13l, 15ad, 15af, 15aha, 15ahb, 15ba, 20b, 29a, 34h |
| Stb. 2019, 508 Implementation of the second Anti-Tax Avoidance Directive (ATAD 2) | Art. 12ag |
| Stb. 2019, 510 Tax Plan 2020 | Arts. 8f, 15bg, 15bh |
| Stb. 2019, 512 Other Tax Measures 2020 | Arts. 15ahb, 15bb, 15bc, 15f, 29h |
| Stb. 2019, 513 Withholding Tax Act 2021 | Art. 17 |
| Stb. 2020, 539 Restriction of the liquidation and cessation loss rules | Arts. 13e, 13j, 15aj, 15i, 28c |
| Stb. 2020, 540 Tax Plan 2021 | Arts. 12abis, 12b, 15ab, 20, 33b, 33c, 34i |
| Stb. 2020, 542 Other Tax Measures 2021 | Arts. 12ae, 12af |
| Stb. 2021, 651 Tax Plan 2022 | Arts. 14, 14a, 14b, 14ba, 15aa, 15ah, 15ak, 15al, 25a, 25b |
| Stb. 2021, 652 Other Tax Measures 2022 | Art. 15ae |
| Stb. 2021, 653 Implementation of the reverse hybrid rule of ATAD 2 | Arts. 12aa, 12ab, 12ac, 12ad |
| Stb. 2021, 654 Countering mismatches in applying the arm’s length principle | Arts. 8ba, 8bb, 8bc, 8bd, 35 |
| Stb. 2022, 532 Tax Plan 2023 | Art. 22 |
| Stb. 2023, 498 Tax Omnibus Act 2024 | Arts. 12a, 13b, 16, 20a, 27 |
| Stb. 2023, 499 Tax Plan 2024 | Arts. 13ab, 15be, 15bf |
| Stb. 2023, 502 Amendment of the fiscal investment institution regime | Art. 28 |
| Stb. 2023, 503 Amendment of the mutual fund and exempt investment institution regimes | Art. 6a |
| Stb. 2023, 508 Tax Qualification Policy for Legal Forms Act | Arts. 1a, 3, 4, 5, 6, 6a, 6b, 8e, 9, 13, 13a, 13d, 14c, 15, 15ac, 15a, 17a, 25, 28 |
| Stb. 2024, 434 Tax Plan 2025 | Arts. 1a, 3, 10a, 13ba, 13d, 15ac, 15b, 18, 21a |
| Stb. 2024, 435 Other Tax Measures 2025 | Arts. 10a, 12bd, 13, 13k, 15e, 29i |
| Stb. 2025, 431 Tax Omnibus Act 2026 | Arts. 8, 23c, 23d, 23e |
| Stb. 2025, 445 Other Tax Measures 2026 | Arts. 2, 15bd |
Related acts
The commercial accounts that the tax profit starts from.
Netherlands · Civil CodeBook 2, Title 5: the BVThe company law of the usual Dutch taxpayer.
Netherlands · TaxDividend Tax Act 196515% dividend withholding tax and its exemptions, translated in full.
Netherlands · TaxWithholding Tax Act 2021Conditional withholding tax on interest, royalties and dividends to low-taxed jurisdictions, translated in full.
BCA EU · ServiceDutch corporate taxOur corporate tax calculator and services for Dutch companies.
BCA EU · GuideInterest limitation in the Netherlands and LuxembourgEBITDA rules compared.
How to cite
Cite the article and paragraph and link to the paragraph anchor. For example:
Unofficial English translation by BCA EU, for information. Only the Dutch text has legal force. Article headings are editorial; chapter and division headings are the law’s own. Text checked against the consolidated version valid from 1 January 2026 on wetten.overheid.nl on 30 October 2026. This page is not legal or tax advice.
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