Tax & Rates

Dutch youngtimer company car rules 2027: proposed 17 years, then 20 years from 2028

Updated: 6 October 2026 By Robert Jeffrey, Holdwise Youngtimer Company car Tax Plan 2027

In the 2027 Tax Plan, the cabinet proposes a youngtimer age of 17 years in 2027 and 20 years from 2028. For a director-shareholder, the youngtimer scheme is the cheapest legal way to drive a comfortable company car. Under the current law, the scheme was due to end in 2027, when the age threshold would rise to 25 years.

Short answer

A youngtimer is a company car old enough to be taxed on its market value in place of its list price, with a private use addition, the amount added to your taxable income, of 35% of the current market value. That makes an older Mercedes or Volvo far cheaper to drive than a new car. In 2026 the car must be at least 16 years old, and under the current law the age would rise to 25 years in 2027. In the 2027 Tax Plan of 15 September 2026, the cabinet proposes 17 years in 2027 and 20 years from 2028. A transition rule covers cars first registered in 2010, which turned 16 during 2026, so if the same person already used such a car as a company car on 31 December 2025, it stays a youngtimer for all of 2027, even if it turns 17 only later that year. Cars from 2009 and older are already 17 on 1 January 2027 and qualify.

This measure is a proposal in the 2027 Tax Plan that the cabinet submitted on Budget Day, 15 September 2026, and parliament may still change it. Budget Day 2026 and the Dutch 2027 Tax Plan lists all measures in one table.

How the scheme works

If you also drive a company car privately, a taxable amount, the addition (bijtelling), is added to your salary. For a new car it is 22% of the list price, for a new electric car in 2027 it is 20% on the first €30,000, and for a youngtimer it is 35% of the market value on 1 January. An eighteen-year-old premium car with a list price of €90,000 and a market value of €15,000 gives an addition of €5,250 a year, compared with €19,800 for a new car with the same list price (22%). At 49.5%, the difference in tax is about €7,200 a year. The youngtimer company car on market value has the full details.

The proposal of 15 September 2026

With the 2026 Tax Plan, the age rose from 15 to 16 years in 2026 and was set at 25 years for 2027, an age at which almost every practical car would have fallen out of the scheme. In the 2027 Tax Plan, the cabinet proposes 17 years in 2027 and 20 years from 2028 onwards. The proposal would replace the 25-year threshold that is already in the law, but it is still open to change. The transition rule in Article XLVII, paragraphs 3 and 4, of the bill covers a car that the same person already used as a company car on 31 December 2025 and that turned 16 during 2026 (first registered in 2010). Such a car stays a youngtimer for all of 2027, even if it turns 17 only later that year, which extends the 2026 transition rule by one year. Cars from 2009 and older are already 17 on 1 January 2027 and qualify. A car from 2011 is 16 in 2027 and falls out of the scheme until 2031, when it qualifies from the month it turns 20. A car from 2008 turns 20 during 2028 and qualifies in that year from the month of its first registration. Since 15 September the youngtimer calculator has been based on this proposal, and it shows in which years your own car qualifies.

The salary is set once, while the payroll is due every month. Payroll and administration for a Dutch BV lists what our team takes over each month.

What to do with a youngtimer you drive today

Keep the car in your company and keep records of the market value on 1 January, the registration date and the mileage. The transition rule applies only to cars from 2010 that the same person already used as a company car at the end of 2025, while older cars are already 17. For all other cars the scheme applies from the month the car reaches the age limit, which under the proposal is at least 17 in 2027 and at least 20 from 2028. When a car falls out of the scheme, the addition becomes 22% of the list price (25% for cars from before 2017). For a car with a list price above €40,000 it usually makes sense to switch, to an older car of 20 years or more or to a newer electric car. You can also own the car privately and receive a mileage allowance of €0.25 per kilometre. Cars from 2007 and older are the safe choice for 2028.

The wealth planner 2027 works out what the plans mean for your salary, dividend, profit kept in the company and private wealth in box 3, with the 2026 and 2027 figures side by side.

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Part of Doing Business in the Netherlands, the complete 2026 guide.

Frequently asked questions

What is a youngtimer in Dutch tax? +

A company car old enough to be taxed on 35% of its market value in place of a percentage of its list price. In 2026 the car must be at least 16 years old.

Does the youngtimer scheme end in 2027? +

In the 2027 Tax Plan, the cabinet proposes an age of 17 years in 2027 and 20 years from 2028. The proposal would replace the 25-year threshold that is already in the law, but it is still open to change.

I drive a youngtimer now. What happens? +

Under the transition rule, a car from 2010 stays in the scheme for all of 2027 if the same person already used it as a company car at the end of 2025. A car from 2009 is already 17 and stays in anyway, as does a car from 2007 or older. A car from 2011 is out in 2027 and first qualifies in 2031, and a car from 2008 qualifies in 2028 from the month it turns 20. The calculator shows the years for your own car.