Netherlands Motor Vehicle Tax Guide

BPM — Purchase Tax on Cars and Motorcycles

• ~40% of net cataloguswaarde: The BPM (belasting van personenauto's en motorrijwielen) is a purchase tax (verbruiksbelasting) levied when a new car or motorcycle is registered in the Netherlands. The rate is calculated as: (a) a CO2-based component — a fixed amount per gram of CO2 per kilometre (€0–€500 per g/km depending on the CO2 emissions and fuel type), plus (b) a value-based component — a percentage of the net cataloguswaarde (the rate is ~22% of the value above the CO2 component). The total BPM is approximately 40% of the net cataloguswaarde for a typical petrol car. The BPM is payable by the importer (the dealer) and included in the purchase price. The consumer does not pay BPM separately — it is embedded in the price.
• Zero-emission vehicles — BPM exemption: Fully electric vehicles (zero-emission — 0 g CO2/km) are fully exempt from BPM. The exemption applies to all EVs regardless of the cataloguswaarde. The exemption is designed to promote the transition to electric mobility. The exemption was confirmed until at least 2026 — the government has announced a gradual introduction of a reduced BPM for EVs from 2027 (the BPM on EVs will be introduced from 2027 at ~€300 per car, rising to €600 in 2028). Motorcycles are subject to BPM at a flat rate of €400 per motorcycle (2026).

MRB — Quarterly Road Tax

• Weight, fuel type, and province: The MRB (motorrijtuigenbelasting) is paid quarterly by the vehicle owner. The rate depends on: (a) the vehicle weight (ledig gewicht — empty weight in kilograms — higher weight = higher tax), (b) the fuel type (petrol = base rate, diesel = base rate + ~70% surcharge, LPG = base rate + ~50% surcharge), and (c) the province of registration (the province adds a opcenten surcharge of 30–60% of the base rate). A typical family car (petrol, 1,200 kg) costs approximately €200–300 per quarter in MRB. A diesel car of the same weight costs approximately €350–400 per quarter. The MRB is paid to the RDW (Dienst Wegverkeer) through the Belastingdienst — the vehicle owner receives a quarterly invoice.
• EVs — MRB phase-in from 2025: EVs are subject to a reduced MRB: 25% of the standard rate in 2025, 50% in 2026, and 100% from 2027. The MRB reduction was phased out because the EV fleet grew faster than expected — the MRB exemption was considered fiscally unsustainable. From 2027, EVs pay the full MRB based on their weight (EVs are heavier than petrol cars due to the battery — typically 1,800–2,500 kg vs 1,200–1,600 kg for an equivalent petrol car).

Bijtelling — Company Car Addition

• 22% for conventional cars: When the employer provides a company car that the employee can use for private purposes (privégebruik), the employee must add 22% of the cataloguswaarde (the list price including BTW and BPM) to their taxable income. The bijtelling is added to the loon (salary) in the payroll tax return (loonheffing). The bijtelling applies to cars with CO2 emissions >0 g/km. The bijtelling does NOT apply if the employee can demonstrate that the car is used for fewer than 500 km per year for private purposes (the verklaring geen privégebruik auto — the VGP — the declaration of no private use). The declaration is filed with the Belastingdienst. If the employee uses the car for private purposes for more than 500 km per year, the bijtelling applies to the full cataloguswaarde (not just the private kilometres).
• EVs — 16% up to €30,000: Zero-emission vehicles (EVs) have a reduced bijtelling: 16% of the cataloguswaarde up to €30,000, and 22% above €30,000. For an EV with a cataloguswaarde of €50,000 (2026): the bijtelling is 16% × €30,000 = €4,800 + 22% × €20,000 = €4,400, total bijtelling = €9,200. The reduced EV bijtelling is a major incentive for employees to choose an electric company car. The bijtelling percentage for EVs is reviewed annually — the government has announced a gradual increase: 17% in 2027, 22% from 2028 (the EV bijtelling will equalise with conventional cars from 2028).

Old-Timer Exemption

• Vehicles over 40 years: Cars and motorcycles that are 40 years or older (the oldtimer age — the datum van eerste toelating — date of first registration) are exempt from BPM (exemption from the purchase tax for second-hand old-timers) and MRB (exemption from road tax). The owner must register the vehicle as an oldtimer with the RDW. The bijtelling does not apply if the employer provides an old-timer as a company car (the bijtelling is waived for company cars over 40 years). The owner may drive the old-timer without restrictions (no mileage limit, no driving ban).

For the personal tax rates and the bijtelling interaction with the arbeidskorting, see our Personal Tax Guide →. For the auto costs for self-employed (the autokosten — the €0.23 per km deduction for ZZP from the private car), see our Business Expenses Guide →. For the MIA/Vamil for electric company cars (the 13.5–36% additional deduction for EV investments), see our Green Business Tax Guide →. For the payroll tax treatment of the bijtelling (the loonheffing and the loonbelastingverklaring), see our Payroll Tax Guide →.