Autumn tips for entrepreneurs: 8 things to do before 1 January

Please note: This article refers to proposals included in the Dutch Tax Plan 2027 (Belastingplan 2027). These proposals still need approval from the House of Representatives and the Senate. Always check whether a measure has been adopted before making important decisions.

1. Prepare a profit forecast for 2027

Do not only look back at how your business has performed, but also look ahead. Estimate your turnover, costs, investments, and profit for 2027. This will help you identify early on which choices make sense for investments, financing, and taxes. Use the budgets from your financial plan, such as your operating budget, liquidity budget, or investment budget.

 

2. Planning a major investment? Consider the best moment

The end of the year is a good time to review your investment plans. The timing of an investment can affect the tax benefits you receive.

Depending on the type of investment, you may be eligible for the small projects investment credit (KIA), Energy Investment Allowance (EIA), or tax schemes for environmentally friendly investment (MIA and Vamil). Some schemes can be combined. Check in advance which scheme best suits your investment.

Will you meet the KIA threshold this year?

To qualify for the KIA in 2026, you must invest more than €2,900 in business assets that meet the conditions.

Have you not yet invested more than €2,900 in 2026, but do you have investments planned for early 2027? If so, it may be worth looking at whether you can make part of those investments before the end of 2026. If this brings you above the applicable threshold in both years, you may be able to benefit from the KIA in both years. The amounts for 2027 have not yet been finalised.

If you invest in energy-efficient business assets, the proposed increase in the EIA may be relevant. The government intends to increase the deduction percentage from 40% to 45.5% from 2027 onwards. Please note that the Netherlands Enterprise Agency (RVO) has not yet published the 2027 Energy List. An asset that appears on the 2026 list will not automatically be included on the 2027 list.

Do you have plans to make your business more sustainable? Also explore how you can finance the investment in the article ‘Want to make your business more sustainable? Find out how to finance the investment’.

3. Do not wait too long to make decisions about company cars

Do your employees have company cars, or are you a director-major shareholder (DGA) of a BV with a company car? If so, now is a good time to review your vehicle fleet. From 1 January 2027, the government plans to introduce an additional tax for employers. This is the pseudo final levy for fossil-fuel passenger cars that are first made available to an employee from that date onwards and which may also be used privately. Fully electric cars are exempt from the scheme.

The pseudo final levy amounts to 12% of the catalogue value, including VAT and BPM, per year. This cost must be paid by the employer. It is charged in addition to the existing taxable benefit for private use. For example, if you provide an employee with a petrol car in 2027 with a catalogue value of €40,000, you will pay €4,800 per year in pseudo final levy.

Under the current proposal, transitional arrangements will apply until 1 January 2031 for cars that were already made available before 1 January 2027. Be aware that the new levy may also apply if your business changes legal structure from 2027 onwards and a company car is available to employees or the DGA.

Are you planning to replace a car soon? Consider whether another form of business mobility might be a better fit for your business. The Company Car Calculation Tool lets you compare the costs of a company car with those of a private car. The calculator does not yet include the pseudo final levy.

4. Are your finances for the future in order?

Many entrepreneurs invest in their businesses but forget about themselves. Take a look at how much income you are building up for later in life and how you would manage financially if you were unable to work for a longer period.

The government is working on a mandatory disability insurance scheme (AOV) for self-employed professionals. Although the introduction date has not been finalised, the proposal highlights the importance of planning for income loss due to illness.

5. Check outstanding invoices and bad debts

Review which customers still need to pay, which invoices you still need to send, and whether there are invoices that are unlikely to be paid. If debts prove uncollectible, you may be able to write them off. This can affect both your profit and your VAT position. Also check any invoices that you still need to pay yourself.

6. Check your VAT records

Review your VAT records before you close your books for the year. This can prevent time-consuming corrections later. Pay particular attention to:

• VAT corrections for the private use of a company car
• international turnover
• digital services
• investments that are subject to VAT revision rule

7. Recalculate your hourly rate

Many self-employed professionals only increase their rates after their costs have already gone up. Take another look at your required income, inflation, rising costs, insurance, pension contributions, and future investments.

8. Do you have employees on long-term sick leave or are you considering ending your business?

Do you have an employee who has been on long-term sick leave? Or are you considering retiring or ending your business within the next few years? If so, it is worth keeping track of developments regarding compensation for statutory transition payments to employees.

The government intends to abolish the existing compensation schemes from 2028. As a result, you may no longer be eligible for compensation for a transition payment after dismissing an employee who has been ill for more than 2 years. According to the proposal, compensation in the event of business closure due to the employer's retirement or death will also be abolished.