The House of Representatives adopted the 2026 Tax Plan on Thursday, November 27, 2025. The package, originally presented on Budget Day, has been modified in some respects by the newly elected House of Representatives. In this article, we list the most important changes in the area of payroll taxes: From the introduction of the pseudo-final tax on fossil company cars to the increase of the additional tax rate on emission-free cars.
Pseudo final tax for fossil cars.
From January 1, 2027, a new tax measure for employers will apply: a 12% pseudo-final tax on the list value of fossil fuel passenger cars that are also available for private use. This includes commuting to and from work as private mileage.
The levy is entirely borne by the employer and may not be passed on to employees. The pseudo-final levy applies to M1-rated cars that are first made available as of 2027. For older vehicles, transitional law applies until Sept. 17, 2030.
Additional taxable benefit for business zero emission cars.
For new business emission-free cars, the tax addition rate for employees changes from January 1, 2026. In 2026, the rate is 18% over the first €30,000 of the list value. From 2027, the rate over the first €30,000 will gradually increase to 20%. Please note, over the excess of € 30,000, the percentage in these years always remains 22%. From 2028, the percentage of 22% will be calculated over the entire list value. The lower addition applies from the first admission date for a maximum of five years (60 months).
Adjustment youngtimer scheme
The rules for the youngtimer scheme are made more austere. Currently, the tax addition for cars that were first put into use more than 15 years ago is 35% of the daily value. In practice, this usually means that the fiscal addition is low, because the addition is not calculated on the list value but on the daily value.
The minimum age of the car increases from 15 to 16 years in 2026 and is set at 25 years in 2027. Cars younger than 25 years old on Jan. 1, 2027, will thus fall under the normal (less favorable) addition rules from that date. The transition period gives drivers of youngtimer cars the coming year to anticipate the relaxation of the tax rules here.
Should you wish to exchange views on these new developments? Please feel free to contact your contact person at Govers or the payroll tax focus group at loonheffingen@govers.nl.