Personal levy rebates for resident taxpayers of the Netherlands (heffingskortingen)

The Dutch personal income tax due over the aggregate amount of the Box 1, Box 2 and Box 3 income can be reduced with the Standard Levy Rebate (in Dutch: 'standaard heffingskorting').

The primary condition to be met for obtaining the Standard Levy Rebate is that the taxpayer is subject to the rules for resident taxpayers the entire tax year, or from birth or to the moment of decease.  

The Standard Levy Rebate consists of various tax credits. The eligibility to a certain tax credit depends on the personal situation of the taxpayer. The law makes the following distinctions:

• the general levy rebate (in Dutch: 'algemene heffingskorting');
• the labor rebate ('employment rebate') (in Dutch: 'arbeidskorting');
• the income dependent combination rebate (in Dutch: 'inkomensafhankelijke combinatiekorting');
• the young disabled rebate (in Dutch: 'jonggehandicaptenkorting');
• the elderly rebate (in Dutch: 'ouderenkorting');
• the single elderly rebate (in Dutch: 'alleenstaande ouderenkorting');
• rebate for certain green investments (in Dutch: 'korting voor groene beleggingen').

Specific rules apply for the determination of the basis of the Standard Levy Rebate, for instance in relation to the levy of national insurance premiums and the application of tax treaties.