Curaçao tax deductions and credits 2026: what really cuts your bill

Last reviewed: November 2026 · Reviewed by Stéphane Gombauld, tax expert, technologist and digital nomad

You live in Curaçao, or are about to, and want to know what legally comes off your income tax bill. This guide covers every 2026 credit and deduction the tax authority lists, with caps, claim steps and value.

Curaçao personal deductions and benefits in 2026: the key figures

Amounts are in the currency the official source uses: XCG (Caribbean guilder, also written Cg) or ANG/NAf (the Netherlands Antillean guilder it replaced). Some tax office pages still quote ANG. The deduction caps come from the tax office's resident notes, published in 2023 and the latest version online.

What changed for 2026

• New 2026 tables. The tax authority published the 2026 bracket table and the 2026 credits table in January 2026. The top rate stays 46.5%.
• Lei di Bion overtime exemption. Since 1 July 2025, up to 520 overtime hours a year can be exempt from wage tax and social charges. Your gross salary must be below XCG 85,753.20. 2026 is the first full calendar year it applies.
• Credits indexed. The basic credit rose from NAf 2,850 (2025) to 2,915, the over-60 credit from 1,312 to 1,342 and child category I from 927 to 948.
• 2025 return deadline moved. The deadline for the 2025 income tax return was extended to 2 November 2026, per the tax authority's news page.

Is this guide for you?

Read on if you…

• are a Curaçao resident with a salary, freelance profit or pension and file an income tax return;
• own your home on the island with a mortgage, or plan to buy one;
• support children studying abroad, care for relatives or pay large uninsured medical bills.

Probably not your case if you…

• are a non-resident with only Curaçao rental income. The rules below come from the authority's notes for resident taxpayers;
• live in a no-income-tax territory. The British Virgin Islands deductions guide shows how different that model is.

How does Curaçao income tax work before deductions?

Residents are taxed on worldwide income. The tax authority's income tax theme page lists the sources: employment, business profit, income from movable capital, income from real estate and periodic payments.

The order matters. You start from income. You subtract three groups of deductions: persoonlijke verminderingen (personal reductions), persoonlijke lasten (personal charges) and buitengewone lasten (extraordinary expenses). Unused losses of the previous five years come off next. What remains is taxable income.

The 2026 brackets then apply:

Finally, the credits (toeslagen) come off the tax itself. The 2026 table notes confirm that the basic credit and child credits are deducted after the table, and that tax never goes below zero.

Some income sits outside the brackets. Income from a substantial interest (5% or more of a company) is taxed at 19.5%. Only 65% of actual rent is declared as income from real estate.

Which deductions can you claim?

Personal reductions: social premiums, annuities, study loans

Per the theme page, this group covers:

• Your AOV/AWW premiums. AOV is the old-age pension, AWW the widows' and orphans' scheme. The employee share in 2026 is 6% AOV plus 0.5% AWW, on income up to XCG 100,000, per the SVB 2026 premium table. AOV/AWW premiums paid through an assessment also count.
• Annuity premiums and blocked savings accounts. Capped at 10% of income, with a maximum of NAf 5,000 a year since 2019. A capital insurance policy with an annuity clause taken out after 1 January 2016 does not qualify.
• Study loans for your own profession. Interest, costs and repayments are deductible up to NAf 10,000 a year, for at most 10 years.

Personal charges: home, loans, donations

• Mortgage interest on your own home. For loans taken out from 1 August 2000, interest plus decreasing-term life premiums are deductible up to NAf 27,500 a year. Older loans keep unlimited interest deduction. Source: the authority's explanatory notes for resident taxpayers.
• Other personal loans. Consumer interest is deductible up to NAf 2,500, or NAf 5,000 for a married couple.
• Donations. Gifts to charitable, cultural, scientific or public-benefit bodies based in Curaçao count only above both 1% of income and NAf 500. The deduction is capped at 3% of income.

Here's the catch with insurance: fire and personal accident premiums are not deductible.

Extraordinary expenses (buitengewone lasten)

This is where large one-off bills land. Costs of illness, disability, childbirth and death are deductible only above a threshold of 5% of income, with a minimum of NAf 1,500. Couples use their combined income.

• Medical costs: doctors, dentists, hospital, medicines, glasses. Car travel to appointments counts at NAf 0.35 per kilometre. Reimbursed costs never count. AVBZ and BVZ health premiums are not extraordinary expenses.
• Supporting relatives who cannot support themselves (children aged 27 or over, parents, siblings): up to NAf 2,500 per person and 10% of income in total. For a sick or disabled child up to 26, those limits do not apply.
• Study costs of children up to 26: the inspector uses a study budget. Proven extra costs you pay are deductible up to NAf 10,000, or NAf 20,000 for a married couple. One return ticket a year for a child abroad counts.
• Your own professional training: fees, books, flights and 75% of living costs abroad.

Which credits are you entitled to in 2026?

Credits reduce the tax itself, guilder for guilder. The 2026 amounts come from the official Toeslagen 2026 table; the conditions from the 2026 wage-tax declaration notes.

One honest flag: the running text of the 2026 wage-tax notes still quotes NAf 1,312, 658 and 1,739. Those are the 2025 amounts from the 2025 ministerial regulation. The 2026 credits table gives the indexed figures used here.

At 9.75%, the XCG 2,915 basic credit wipes out the tax on the first XCG 29,897 of taxable income.

The penshonado regime is not a deduction, but it matters

New residents aged 50 or over can opt for the penshonado regime. Foreign income is taxed at 10%, or ordinary rates apply to a deemed foreign income of ANG 500,000. You must own a home worth at least ANG 450,000 within 18 months and apply within 2 months of registering. You must also have lived abroad for 60 consecutive months. The tax incentives guide covers it in full.

How do you claim them?

1. Wait for the invitation or file on your own. Returns are online only. With an invitation you have two months; without one, 36 months from when the year's return opens.
2. Check the credits in your payroll. Employees get the basic credit through wage tax. Child and over-60 credits depend on what you declare to your employer.
3. Collect proof. Mortgage interest statements, annuity certificates, SVB premium statements, medical invoices, tuition receipts and donation receipts.
4. Enter each item in its group. Personal reductions, personal charges and extraordinary expenses are separate sections; the 5% threshold is applied to your income.
5. Request an extension in time if you need one. Missed deadlines lead to an estimated assessment and a fine from ANG 250 (first time) to ANG 2,500 (fifth time).
6. Pay or collect. An assessment is payable within two months. Register your bank account so a refund can be paid out.

Moving mid-year? The guide to obtaining tax residency in Curaçao explains when residence begins.

Common mistakes (and what they cost)

• Claiming medical costs from the first guilder. Only the excess over 5% of income (minimum NAf 1,500) counts. An over-claim is simply corrected in the assessment, and the tax office may ask for invoices.
• Assuming all mortgage interest is deductible. For loans from 1 August 2000 the cap is NAf 27,500. Interest above it saves nothing.
• Over-funding an annuity for the deduction. Premiums above 10% of income or NAf 5,000 give no relief. A capital policy with an annuity clause from 2016 gives none at all.
• Missing the penshonado deadline. Apply within 2 months of registering, or foreign pensions face ordinary rates up to 46.5% instead of 10%.
• Filing late. You get an estimated assessment plus a fine of ANG 250 to ANG 2,500 (art. 18 ALL), and you lose control over which deductions are counted. Claiming deductions you know are false is a criminal offence: up to 4 years in prison or a fine of twice the evaded tax (art. 49 ALL).

Frequently asked questions

What is the tax-free amount in Curaçao in 2026?

Curaçao uses a credit, not a tax-free band. The 2026 basic credit (basiskorting) is XCG 2,915 and comes off the tax due. Because the first bracket is 9.75%, it cancels the tax on the first XCG 29,897 of taxable income. Tax never goes below zero, so unused credit is not paid out.

Is mortgage interest deductible in Curaçao?

Yes, for your own home. For loans taken out from 1 August 2000, interest plus decreasing-term life insurance premiums are deductible up to NAf 27,500 a year. Loans from before that date keep unlimited deduction. Other personal loan interest is a separate item, capped at NAf 2,500 (NAf 5,000 for couples).

Can I deduct medical expenses in Curaçao?

Yes, as extraordinary expenses. Only uninsured costs above 5% of your income count, with a minimum threshold of NAf 1,500. Doctors, dentists, hospital stays, medicines and glasses qualify; car travel to appointments counts at NAf 0.35 per kilometre. AVBZ and BVZ health premiums are excluded.

Are pension contributions tax deductible in Curaçao?

Your AOV/AWW premiums are deductible: in 2026 the employee share is 6.5% on income up to XCG 100,000. Private annuity premiums and blocked savings deposits are deductible up to 10% of income with a maximum of NAf 5,000 a year. Policies with an annuity clause taken out after 1 January 2016 do not qualify.

How much is the child tax credit in Curaçao?

It depends on the child. For 2026: XCG 948 for a child aged 16 to 26 studying abroad. XCG 475 for one at MBO, HBO or university level in Curaçao. XCG 124 for other education, and XCG 96 under 16. Real study costs above the budget can also be deducted.

Are donations tax deductible in Curaçao?

Yes, if the recipient is a charitable, cultural, scientific or public-benefit body based in Curaçao. Only the part above both 1% of your income and NAf 500 counts, and the deduction is capped at 3% of income. Couples apply these limits to their combined income. Keep receipts for every gift.

Related guides

• Curaçao tax landscape overview
• Tax incentives for expats and digital nomads in Curaçao, incl. penshonado
• How to obtain tax residency in Curaçao
• Specific taxes in Curaçao: OB, property and inheritance
• Capital gains tax in Curaçao
• Personal deductions in the US Virgin Islands
• All country tax guides

Sources

• Schijven tarief 2026 (2026 income tax brackets) – Belastingdienst Curaçao
• Toeslagen 2026 (2026 tax credits) – Belastingdienst Curaçao
• Toelichting inkomstenbelasting binnenland (notes for resident taxpayers) – Belastingdienst Curaçao
• Loonbelastingverklaring 2026 toelichting – Belastingdienst Curaçao
• Inkomstenbelasting theme page – Belastingdienst Curaçao
• Premies 2026 table – Sociale Verzekeringsbank Curaçao
• Penshonadoregeling – Belastingdienst Curaçao
• Lei di Bion exemption – Belastingdienst Curaçao

This guide is general information, not personalised tax advice. See how we research and review.