Netherlands to start taxing unrealized capital gains yearly from 2028
9 days ago
- #expatriates
- #capital gains
- #Dutch taxation
- Dutch Deputy Minister of Finance presented a new bill to reform the taxation system for income from assets, known as the ‘Actual Return on Investment in Box 3 Act’.
- The bill is scheduled for implementation on 1 January 2028 and aims to tax actual returns on investments, moving away from deemed income.
- The new regime introduces two main categories of taxation: capital growth tax (applying to most assets) and capital gains tax (focusing on immovable property and certain start-up investments).
- Expatriates in the Netherlands will be affected as the partial non-resident regime is eliminated, requiring them to pay taxes on worldwide income.
- Employers with globally mobile employees may see an impact on global-mobility programme costs, especially those with tax-equalisation policies covering savings and investments.
- The bill must be reviewed and approved by both the House of Representatives and the Senate before it can come into effect.