When you buy a bike with you company, this works more or less the same as for a car. When you buy or lease a bike with you company, you have to add 7% of the commercial value, including VAT, to your taxes every year. This 7% of the value of the bike plus accessories added to your income when you have to do your yearly tax return. This means that your income from a tax perspective is increased with 7% of that bike. 

You can use this website to find more information about your bike for the your tax return. 

Company bike tax rate

Finally, lets have a look which tax rate you have to pay for your company bike. The tax rate for the first tier of box is 37,07%. This is for income up to €69.399 and as long as you have reached your "AOW" age. The second tier, when you earn more than €69.399, is 49,50%. In the next example we show how this works in 2022. 

Calculation: you purchase an e-bike with your company

You buy an electric bicycle for your sole proprietorship for €2.000 (incl. VAT). On this €2.000 (incl. VAT) of your electric bicycle you make an annual addition to your income of €2.000 x 7% = €140. So, you add €140 per year to your taxable income.

For income bracket box 1 in the Netherlands, the percentage of tax is 37,07%. The addition you made to your taxable income is rounded to your advantage, net €51,90 per year that you pay in tax over the addition of your company bicycle. This is approximately €4,32 net per month in extra taxes.

For income bracket 2 of box 1 in the Netherlands, the percentage of tax is 49,50%. Using the same calculation, the addition you made to your taxable income is rounded to your advantage to €69,30 per year that you pay in tax on the addition of your company bicycle. This is approximately €5,78 net per month in taxes.