Bonaire executive Council urges resolution on tax-free allowance and minimum wage
KRALENDIJK – In a letter to the Dutch Parliament, the Bonaire Executive Council expresses support for the broad backing of the BES Islands Tax Plan 2025 in the House of Representatives but highlighted an urgent issue: aligning the tax-free allowance with the minimum wage for 2025.
While these amounts were synchronized in 2024, there is a risk that this alignment will not carry over into 2025. This could result in households earning minimum wages being subject to a monthly tax of a few dollars—an undesirable outcome given Bonaire’s high cost of living.
The council has called on the Ministries of Finance and Social Affairs to urgently find a practical solution within existing policy frameworks to shield this vulnerable group from undue financial burdens.
For minimum wage earners, the tax could range between $5 and $11 per month, despite the Dutch Caribbean Tax Office generally waiving amounts below $168 per year (equivalent to $14 per month).
Structural Solutions
The council also advocates for discussions on structural fiscal measures starting in 2026 that align better with the realities of island economies. Bonaire reiterated its willingness to collaborate on interim solutions for the fiscal year 2025.