Your first income tax return

  • Shivani Boer
  • The basis
  • 2 February 2026
  • 3 min
  • Starting
  • Finance

If you are just starting your own business, there are many things to deal with. One of those things is your income tax return. This may seem complicated, but good preparation can ease the process. In this article, you will read what income tax is and how to prepare.

What do you need to arrange when starting a business?

Answer the questions on Business.gov.nl and see the steps that are important in your situation.

Create your to-do list

First check with the OndernemersCheck tool (in Dutch) to see if the Tax Administration considers you an entrepreneur. Not everyone registered with the Netherlands Chamber of Commerce KVK is an entrepreneur for income tax purposes. This has consequences for how you file your tax return.

BV, NV, or cooperative?

If you have a private limited company (BV), public limited company (NV), or cooperative, your company must file a corporate income tax return. As a private individual, you yourself file an income tax return for your wages and other income.

What is income tax?

In the Netherlands, you pay tax on the money you earn: income tax. It consists of three boxes (in Dutch):

  • Box 1, income from work and home: such as wages, profits from your business, and your own home.
  • Box 2, income from substantial interest: if you have at least 5% shares in a BV or NV.
  • Box 3, income from savings and investments: including, for example, from a second home.

As a starting entrepreneur, you mainly have to deal with box 1: you pay tax on the profit from your business. How income tax is calculated next depends on the profit you make (in Dutch).

Tax brackets

Income tax works with tax brackets. This means that you do not pay the same tax rate on your entire income: you pay a lower rate on the first part of your income and a higher rate on the next part. The rates change every year.

You always file a tax return for the previous year. So from March 2026 onwards, you report your income from 2025.

Running a business alongside a job

Do you work in salaried employment and also run a business? Then your employer will deduct payroll tax from your salary. Payroll tax is an advance levy on income tax. You also pay income tax on the profits of your business. In the income tax return, you add up all your income and then the total amount of tax is calculated. The payroll tax that your employer already withheld from your wages is deducted from this amount. You are then left with the final amount to be paid to the Tax Administration. You only file an income tax return once per year.

Reserving money for income tax

For the income tax return, it is advisable to set money aside throughout the year. This way, you avoid having to transfer a large amount at once after receiving the tax assessment. How much you need to set aside depends on your profit and personal situation.

A handy guideline if you do business by yourself: set aside about 25% to 35% of your profit. If you want to avoid problems afterwards, apply for a provisional assessment.

Free webinar: How to file your tax return as a self-employed person

On 3 March 2026, the Tax Administration is hosting a free webinar for self-employed professionals who wish to file their own tax returns. During the webinar, which will be held in Dutch, experts will explain step-by-step how it works. If you are unable to attend live, you will receive a link to watch it later.


You can register via the website (in Dutch) of the Tax Administration.

What you need for your tax return

You need a few things before you can file your income tax return:

  • Your DigiD login details to log into Mijn Belastingdienst.
  • An administration that is in order. All figures easily accessible. Receipts, invoices, and bank statements processed. Your company's profits must also be known.
  • Insight into tax deductions. The government offers tax deductions to stimulate business: schemes that help you pay less tax. You can use these if the Tax Administration considers you an entrepreneur for income tax purposes. Check which schemes and deductions apply to you. You may be entitled to the Tax relief for new companies and the Private business ownership allowance or the SME profit exemption.
  • Do you also use a company car for private purposes? If so, do not forget the additional tax liability for private use.
  • Check whether the details of the pre-completed tax return by the Tax Administration are correct, such as the balance of your account statements and the value of your own home, if any.
  • Savings in an account in the name of your company do not count in Box 3.

Want to prepare your tax return properly? Use the Tax Administration’s tax return checklist (in Dutch). You can file your income tax return via Mijn Belastingdienst from 1 March. Most entrepreneurs have to complete this before 1 May. If you are not able to do that, you can easily request a postponement yourself or via your accountant.

Are you having trouble?

Income tax may seem complicated at first, but good preparation will help. If you still have questions or doubts, do one or several of the following:

Also of interest