Offsetting job-related investment reduction (BIK)

This information is provided by

Netherlands Enterprise Agency, RVO

Effective date: 1 January 2021

What changes?

Because of the corona crisis, the government has decided to help employers invest in their businesses. For this purpose, they have introduced an incentive: the job-related investment reduction (BIK). If you make an investment, if for example you purchase a new machine, you will be able to offset part of the expenses against your payroll taxes.

  • For investments up to €5,000,000 per calendar year the reduction is 3.9% of the investment sum.
  • For investments over €5,000,000 per calendar year the reduction is 1.8% of the investment sum.

The investement reduction only applies to new investments in company assets for which you entered the investment obligation on or after 1 October 2020.

You must have paid for the investment in full between 1 January 2021 and 31 December 2022 and you must start using it within 6 months after payment.

For all applications a minimum of €1,500 per asset and €20,000 per application is set.

For whom?

  • employers who invest

When?

The change in law is expected to come into effect on 1 January 2021.

Please note: The effective date of this measure is not yet final. Entry into force is subject to its passing through the upper and lower houses of parliament or proclamation of the Order in Council (Algemene Maatregel van Bestuur, AMvB) or ministerial decree and publication in the Staatsblad or the Staatscourant(in Dutch).

This information is provided by

Netherlands Enterprise Agency, RVO