Definition
Werkkostenregeling (WKR)
Dutch tax framework giving employers a 'free space' to grant tax-free benefits and rewards — including gift cards — to staff.
The Werkkostenregeling (WKR) gives Dutch employers a 'free space' — a percentage of total taxable payroll — within which they can grant tax-free benefits to employees. Gift cards typically qualify, unless they fall under a specific exemption or a nil valuation.
Above the free space, the employer pays an 80% flat tax (eindheffing). Percentages and thresholds are set yearly by the Belastingdienst — always check current figures on the Netherlands country page or in the WKR estimator.
Gifts to external relations (clients/partners) do not fall under the WKR — separate deductibility rules apply. For employee gift cards in the Netherlands, the WKR is the primary framework.