Borrowing from Your BV: Rules and Pitfalls in 2026

Updated: 2026 Borrowing BV Loan

As DGA, you can borrow money from your own BV — but strict rules apply. Since 2023, an "excessive borrowing" scheme limits this. Here is what you need to know in 2026.

The Excessive Borrowing Act (Wet excessief lenen)

Since January 2023, a law limits how much a DGA can borrow from their own BV. The threshold: if the total outstanding loans from all connected BVs to you (and your fiscal partner) exceed €700,000, the excess is deemed a dividend and taxed in box 2 (24.5%/31%).

Exception: mortgage loans secured by a primary residence are excluded from the €700,000 cap.

What counts toward the €700,000 threshold?

All loans from BVs in which you hold a substantial interest (5%+)
Loans to your fiscal partner
Loans to family members in the first degree (children, parents)
Mortgage loans on a primary residence are excluded

Interest rate requirements

All loans from your BV must carry a market-rate interest. The Tax Authority benchmarks this against what an independent lender would charge. Typical market rates for DGA loans: 3–6% depending on term and collateral. If the rate is below market, the difference is treated as taxable income or hidden dividend.

Formalise all loans properly

Every loan from the BV must be: documented with a written loan agreement, carry a market-rate interest, have a realistic repayment schedule, and be properly recorded in the BV's accounts. Informal withdrawals from the BV (without a loan agreement) are treated as dividend immediately.

Frequently Asked Questions

What happens if my BV loan balance exceeds €700,000? +

The excess above €700,000 is deemed a dividend distribution in that tax year — you pay 24.5% or 31% box 2 tax on it. The loan balance itself does not disappear; you still owe the money to your BV.

Can I use a BV loan to buy a house? +

Yes. Mortgage loans on a primary residence are excluded from the €700,000 cap. However, the mortgage must be formally registered and carry a market-rate interest. Tax deductibility of the interest for you personally: not possible — this only applies to bank mortgages.