Property transfer tax due on property purchased through share deals

What changes?

Do you purchase property through a share deal, such as business premises? This is known as an indirect property purchase. From 2025, you will pay 4% transfer tax. Currently, you pay no VAT or transfer tax on indirect property purchases. If new property is purchased and transferred directly, sellers do have to pay 21% VAT.

This measure ensures that both forms of property transfer (direct and indirect) are taxed more equally. The measure will not apply to property projects already in progress. They will fall under a transitional scheme.

For whom?

• entrepreneurs who want to purchase property

When?

The change in law is expected to enter into effect on 1 January 2025.

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 (Eerste en Tweede Kamer) of parliament or proclamation of the Order in Council (Algemene Maatregel van Bestuur, AMvB) or ministerial decree and publication in the Staatsblad or Staatscourant (Government Gazette, in Dutch).