Dutch House of Representatives advances controversial 36% tax law
5 hours ago
- #taxation
- #cryptocurrency
- #capital flight
- Dutch House of Representatives advances a 36% capital gains tax on savings and most liquid investments, including cryptocurrencies.
- The tax applies to savings accounts, cryptocurrencies, most equity investments, and gains from interest-bearing financial instruments, regardless of asset sale.
- Critics argue the tax will drive capital out of the Netherlands to jurisdictions with more favorable tax laws.
- The bill must pass the Dutch Senate to become law, with potential enforcement starting in the 2028 tax year.
- Investors and analysts criticize the tax, predicting capital flight and comparing it to France's 1997 exodus of entrepreneurs.
- An example shows a 36% tax could reduce a 40-year investment's final amount by 1,435,000 euros.
- Similar concerns were raised about California's proposed wealth tax on billionaires, leading to backlash and departures.