The Mileage Allowance per kilometre [reiskostenvergoeding] is a Dutch tax ruling. Employees can opt in to receive a home–to–work Mileage Allowance for daily commuting between home and work and vice versa from work to home. The distance will be determined on the basis of the most usual route between home and work and back from work to home. The reimbursement of the Mileage Allowance has to be processed via payroll based on tax legislation in the Netherlands (it is not allowed to process this via an expense system such as Concur).
In 2022, the Mileage Allowance has changed, see: 2022 Change Fixed Mileage Allowance in the Netherlands, and in 2023 it is expected to be revised as well.
At this moment, the allowance is 0.19-euro cents per kilometre travelled between home and work, and work to home, to a maximum reimbursement for not more than 128/214 –days per year on a full–time employment.
Starting in 2023, the allowance will be 0.21-euro cents per kilometre travelled between home and work, and work to home. In 2024, it will be increased to 0.22-euro cents.
This change is expected to come into effect on January 1, 2023.
Please note: the effective date of this measure is not yet final. Entry into force is subject to its passing through the upper and lower houses of the Dutch parliament.
Read more about the 2023 Mandatory Carbon Reporting Employee Commuting and Business Travel.
Contributor to HRMNetherlands.com and author with an eye for People & Culture in today’s workplace
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