Room Rental Tax Exemption
To make renting out empty room of your house in the Netherlands more attractive, a tax exemption on the rental income or kamerverhuurvrijstelling is provided by the tax authority or Belastingdienst. You will receive tax exemption for a given amount of rental income:
| Year | Rental income per year |
| 2023 | Not higher than € 5.881 |
| 2022 | Not higher than € 5.711 |
| 2021 | Not higher than € 5.668 |
There are a number of conditions that you need to satisfy in order to qualify for this tax exemption:
- The room that you rent out is a part of your house and not independent of it
- You and the tenant are registered at the municipality on your house’s address throughout the rental period
- It is not of short-term rental such as renting out a room for tourists
Benefits
There are some quite attractive benefits that you can obtain by using this tax exemption and satisfying all the conditions, such as:
- The rental income you receive is not taxable, as long as it is within the maximum amount published by the Belastingdienst on the year it is applicable for (Kamerverhuurvrijstelling exemption rule)
- You get to use the whole amount of the mortgage’s interest for tax deduction