Capacity to pay

The capacity to pay is the financial leeway you have to be able to pay the municipal taxes.

In calculating the capacity to pay, the municipality looks at the information and regulations which apply at the time you submit your request for a tax waiver. The capacity to pay will be calculated over the period of 12 months as of this date.

Standard amount

The standard amount is determined by the government and must be used to assess your right to a tax waiver. The standard amount depends on your personal situation. This standard amount already includes the minimal amounts for rent and your health insurance contribution. This is why you need to deduct these amounts from your rent or mortgage interest and from your health insurance contribution. Look at the standard amounts on the website of VNG.

Cost-sharing standard

Starting in 2018 the cost-sharing standard applies to the tax waiver. If you share your home with other people aged 21 years or older, the cost-sharing standard could apply to you. The more cost-sharing housemates you have, the lower the standard amount for living costs becomes because you can share the living costs with your housemates.

Not all housemates are cost-sharing housemates. The following housemates are not cost-sharing housemates:

  • housemates younger than 21 years
  • housemates who are studying and are eligible for student grants
  • housemates who are in the Beroeps Begeleidende Leerweg programme
  • landlords or tenants who have a commercial contract with you and where a commercial rental price is being paid.

Also see

Published: 8 May 2015Modified: 7 February 2022