WBSO 2025: what will change and what will not
Every year on Budget Day, the changes for the WBSO are announced. An exciting moment; major changes in budget or conditions can have major consequences for users of the WBSO 2025.
The biggest changes listed
In addition to the budget increase, three major changes were made to the WBSO parameters for 2025:
- Increase startup deduction: The percentage for startups increases from 40% to 50% to further encourage innovation in startups
- Higher rate first bracket: The rate in the first bracket goes up from 32% to 36%, which benefits companies with smaller investments
- Widening the first bracket: The limit of the first bracket is raised from €350,000 to €380,000, so that more costs fall under the more favorable rate
Budget
The increase in the WBSO 2025 budget is a positive step for companies engaged in innovation. Starting this year, the WBSO 2025 budget will be structurally increased by €100 million per year, bringing the total budget to €1.582 billion. These additional funds are intended to support more companies, especially start-ups and smaller companies, in their research and innovation projects.
It allows companies to invest more in research and development (R&D) without having to worry about the tax burden involved. This increase makes it more attractive for a wider range of companies to use the WBSO scheme. This not only encourages technological progress, but also contributes to the competitiveness of the Netherlands internationally.
The government has set a goal of investing at least 3% of Gross Domestic Product (GDP) in innovation by 2030. The increase in the WBSO budget plays an important role in achieving this ambition. The available budget has been increased to €1.6 billion. With this expansion, the government supports companies by compensating part of the labor costs associated with R&D activities fiscally.
What will remain the same for the WBSO in 2025?
One reassuring aspect of WBSO 2025 is that the basis of the scheme remains largely unchanged. The objective of the WBSO - to stimulate innovation by reducing labor costs for R&D projects - remains intact. Companies can still claim a percentage of their R&D expenditures, reducing their tax bill. This means that both SMEs and large companies can continue to enjoy the benefits offered by the WBSO without any major changes to the structure of the scheme.
What will change for the WBSO 2025?
More emphasis will be placed within the WBSO in 2025 to encourage green innovations. Companies engaged in sustainable technologies or projects aimed at reducing CO2 emissions may be eligible for additional tax benefits within the WBSO scheme.
Terms and discs
The first two years will still be calculated with an hourly wage of €29, after the first two years this amount will change to the actual hourly wage. Subsequently, the following parameters will be calculated:
| Rate | 2024 | 2025* |
|---|---|---|
| Rate1st bracket | 32% | 36% |
| Rate1st bracket starters | 40% | 50% |
| Limit1st bracket | € 350,000 R&D base | € 380,000 R&D base |
| Rate2nd bracket | 16% | 16% |
*On December 17, 2024, the Senate approved the 2025 Tax Plan, including an amendment for an increased WBSO budget. This leads to an adjustment of the parameters: the rate of the first bracket and its upper limit will be increased in 2025.
In 2024, the R&D deduction for the self-employed is €15,551, while starting self-employed are entitled to an additional deduction of €7,781. At the end of 2024, the Ministry of Economic Affairs will announce the new amounts that the self-employed and starting self-employed can deduct for R&D work in 2025.
All in all, a nice year-end gift for the innovative entrepreneurs of the Netherlands! Also benefit from the WBSO subsidy? Through SOM you can easily apply for your WBSO SUbsidie. Contact us and we will be happy to help you.
