The Dutch 30% ruling

The Netherlands love their ex-pats. The Dutch ones abroad, but even more so the foreign ones over here. To attract highly skilled and well-paid professionals, the Dutch Tax Authorities grant them the so-called Dutch 30% ruling. The Dutch 30% ruling seems as simple as it is attractive: 30% of your salary will not be taxed.

I can’t possibly say it is not attractive. Getting and keeping it, however, may be tricky. We have seen applications being turned down for lack of evidence; we have met ex-pats paying thousands of euros too much tax for lack of trying.

Of course, there are conditions: you have to make more than EUR 52.699 (gross) annually; you have to have lived more than 150 kilometres (93 miles) from the Dutch border for at least two-thirds of the 24 months before starting your job in The Netherlands; and if you are a football player, you have to be a pretty good one.

Just to give you an idea: at a EUR 100.000 income, the Netherlands’ 30% ruling saves the ex-pat 8 years * 15.000 = EUR 120.000. That is worth a try, isn’t it? Moreover, that is worth letting an experienced professional file the application.

Had I already mentioned that your bonus is included in this ruling? That you can transfer your Dutch 30% ruling to another employer, even if that employer is your own company? And that you do not have to report your capital to the Dutch Tax Authorities?

So: are you a foreigner working in The Netherlands, making more than EUR 52.699, and don’t you have the Dutch 30% ruling? Get in touch. Are you a foreigner considering working in The Netherlands? Get in touch. Are you an independent entrepreneur thinking of moving to The Netherlands? Do not hesitate to get in touch with us!

POSTED ON 15 FEBRUARY 2017 BY HENDRIK-JAN VAN DUIJN