# Start-up employees' share options to be taxed differently

> The Tweede Kamer adopted a bill on 12 November that changes how employees of start-ups and scale-ups are taxed on share options and abolishes two deductions.

Economy · published 2026-11-13 06:03 · updated 2026-11-14 06:41 · https://nlnow.nl/a/mps-pass-new-tax-rules-for-start-up-share-options/

The Tweede Kamer adopted the Wet fiscale stimulering start-ups en scale-ups on 12 November. The bill changes the taxation of share options that start-up and scale-up employees receive, and of the shares they obtain from them. It also abolishes the business cessation deduction (stakingsaftrek) and the working-partner deduction (meewerkaftrek).

At present the benefit from share options is taxed in box 1 of income tax at a relatively high progressive rate, the explanatory memorandum to the bill says. It states that this makes the Netherlands less attractive than other start-up countries, which often tax such benefits at a lower rate or as capital gains.

The memorandum says the aim is to give start-ups and scale-ups a better chance of growing in the Netherlands, including by attracting and retaining staff. It says these firms currently do not grow as well as their counterparts in countries such as the United Kingdom, Sweden and France.

The memorandum also argues that start-ups often cannot afford internationally competitive salaries. Share options, it says, are the most widely used way, internationally, of giving start-up employees a stake in their company and could help close part of that gap, because staff may accept a lower salary in return for a share in the company's potential growth. It adds that obtaining shares ties employees more closely to the company.

For the self-employed, the plan scales back and then abolishes the increased self-employed deduction for starters (startersaftrek). It abolishes the deduction for specific healthcare costs and freezes the pension cap threshold (aftoppingsgrens).

During the same round of votes, MPs adopted a motion by MP Van Eijk on a venture-capital investment test, meant as an alternative route for start-ups and scale-ups to obtain a certificate from the agency RVO.

## Background

- **Tweede Kamer**: The House of Representatives, the lower and more powerful house of the Dutch parliament. Its 150 members are elected directly; it can amend bills and holds the cabinet to account.
- **box 1**: Box 1 is the part of Dutch income tax (inkomstenbelasting) that covers income from work and home ownership, such as wages, profits from self-employment, pensions and benefits, and the deemed rental value of an owner-occupied home. It is taxed at progressive rates, so higher income is taxed at higher percentages. The other two parts are box 2 (substantial shareholdings and dividends) and box 3 (savings and investments).

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