Tax plans 2025: impact on SME entrepreneurs

The 2025 tax plans bring a number of important changes that could affect your business. 
In dhese blog we explain what the new rules mean, how they differ from the tax plans 2024, and how to respond smartly. Whether you are self-employed or run a medium-sized business: with a good financial overview, you can minimise the impact and even benefit from the new rules.

Important changes in income tax (Box 1) 

From 2025, income tax will move from two to three brackets. This will affect your personal tax burden as an entrepreneur. The new rates are as follows: 

• Up to €38,441: 35.82% tax (about 1 percentage point lower than in 2024). 

• Between €38,441 and €76,817: 37.48% load. 

• Above €76,817: 49.5% load (unchanged from 2024). 

For entrepreneurs with a relatively low income, the reduction of the rate in the first tranche may bring a small benefit. Higher-income entrepreneurs will see relatively less change. 

Dividend tax changes (Box 2) 

Do you have a substantial interest (5% or more shares in a company)? If so, there are changes in tax rates for dividends: 

• Up to €67,804: 24.5% load (unchanged from 2024). 

• Above €67,804: 31% load (33% in 2024). 

Practical tip: Do you have a tax partner? By cleverly using the tax partner scheme, you can benefit together from the low bracket up to a dividend payment of €135,608 (2 x €67,804). 

Savings and investments (Box 3) 

Tax-free assets in Box 3 will rise to €57,684 per person. For wealth above this limit, you pay 36% tax. 

For entrepreneurs who have private savings or investments, this increase in tax-free assets is a small windfall. Nevertheless, it is still important to consider the impact of the notional return on your overall tax burden. 

Entrepreneurial deduction and SME profit exemption 

Deductions for entrepreneurs are further reduced, directly affecting your taxable income: 

• The SME profit exemption drops from 13.31% to 12.7%. 

• The self-employed deduction will be further reduced to only €2,470 in 2025 (€3,750 in 2024). This deduction will also be further reduced in the coming years. 

You are entitled to the self-employed deduction if you spend at least 1,225 hours a year on your business. For sole traders and small entrepreneurs, this decrease means a higher tax burden, which increases the need to make the most of other tax benefits. 

Business succession made easier 

The government wants to make business transfers within families easier by making the Business succession regime (BOR) easing. The main changes: 

• The mandatory continuation period will be reduced from five to three years. 

• An exemption of 100% applies to business values up to €1.5 million. For amounts above that, an exemption of 75% applies. 

Practical example: Suppose you take over a business from a family member. Thanks to the shorter mandatory continuation period and exemptions, it is now more attractive to continue a family business.  

Corporate income tax (VPB) changes 

For companies subject to corporation tax, there are two major changes: 

1. Interest deduction limitation: The generic interest deduction limitation rises from 20% to 25% of taxable profit, further discouraging companies from making much use of debt financing. This discourages companies from arranging their finances through loans. 
2. Abolition of gift deduction: From 2025, you can no longer deduct donations in the VPB. 

Consequence: These measures discourage companies from using debt financing and make it necessary to plan strategically for future investments. 

Enforcement on false self-employment among self-employed workers 

Tax authorities will enforce more strictly in 2025 on false self-employment. This means that companies can no longer use self-employed workers for work that actually corresponds to a regular employee position. 

Although no fines will be handed out in 2025, it is necessary to adapt your working methods to the new law. This is especially relevant for sectors that work a lot with self-employed workers, such as construction, healthcare and creative industries. 

Alternative measure to VAT increase on culture, sports and media 

A study on a possible replacement measure for the planned VAT increase on culture, sports and media from 9% to 21% is currently underway. More information on this will be announced later. Keep an eye on the website of the Inland Revenue watching for updates. 

Retention of the 30% scheme for expatriates 

Another measure within the 2025 tax plans is the retention of the 30% scheme for expats. This scheme makes it more attractive to attract international talent, which is especially important for larger SMEs. Without this scheme, companies would find it more difficult to attract specialised professionals to the Netherlands, which could lead to a shortage of unique skills that are hard to find here. 

The cabinet has therefore decided to refrain from austerity to ensure the Netherlands remains an interesting destination for highly skilled expats. 

How SimpledCard helps with financial control 

With the changes in the 2025 tax plans, a good financial overview is essential. SimpledCard provides a user-friendly platform to manage business expenses, credit cards and declarations. 

What makes SimpledCard unique? 

• Real-time insight: see your transactions instantly. 

• Automation: Save time submitting and processing claims. 
• Efficiency: keep business expenses, such as travel costs and hotel stays, clear and compliant. 

Preparing for 2025 

To be best prepared for the 2025 tax plans, it is important to take timely action. Here are three practical tips: 

1. Take advantage of tax breaks: Check which deductions are relevant to your business and make maximum use of them. 
2. Digitise your administration: Use tools such as SimpledCard to streamline your financial processes. 
3. Plan ahead: Think strategically about dividend payments and investments to deal smartly with the new tax rates. 

Want to know how SimpledCard can help your business? Take contact with us or schedule a demo and find out how to make business payments more efficient, secure and convenient.