As a self-employed person you can opt for a provisional assessment: then you pay your expected tax spread over the year, instead of all at once afterwards. That can bring peace of mind, but it's not handy for everyone. This article explains the pros and cons.
What is a provisional assessment?
A provisional assessment is an estimate of the tax you expect to pay this year. You pay that amount in advance in monthly instalments. At the end of the year, at the final assessment, it's settled whether you paid too much or too little.
What's the benefit?
The big advantage is spreading. Instead of a large additional assessment afterwards you pay a fixed amount each month, which makes your cash flow more predictable. For entrepreneurs who struggle to reserve money, it prevents an unpleasant surprise.
What's the downside?
You pay tax on an estimated income. If your profit turns out lower, you've paid too much and get money back later, but until then your money is tied up. If your profit turns out higher, you still get an additional assessment. So too generous an estimate costs you interest income on money you could have kept.
When is it sensible?
A provisional assessment is mainly handy if you have little discipline to reserve tax yourself, or if you have a stable income so the estimate is accurate. If you prefer to set money aside yourself in a savings account, you can also choose not to take a provisional assessment. Both work; it's about what suits you.
This article provides general information based on the rules known for 2026 and does not replace personal tax advice. For your specific situation, we're happy to take a look with you.
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