It’s that time again: the Dutch tax return for 2023 can be filed again! For many expats residing in the Netherlands, completing their tax return seems an easy job, due to the pre-filled data in the tax return. However, these pre-filled data are often incomplete or even incorrect. It is important to always check these thoroughly and change or adapt the details if necessary. Here are some key points to keep in mind for your tax return 2023 Netherlands.

suurmond tax dutch tax return

International

For example, if you have assets abroad, there is a possibility that this information is not included in the pre-filled return. Or perhaps you lived abroad for a part of 2023. In this case, an M-form must be completed. It is easy to overlook tax benefits and optimisation opportunities in this tax return. Did you have a foreign employer and did you travel back and forth for your job? Then it is important to ensure that the 183-day rule is correctly applied in your situation and that you do not pay double tax.

Especially if you have international aspects in your situation, it is wise to have a tax advisor take care of the tax return 2023 who has experience with cross-border situations.

Tax interest rate increased

Whether you have international aspects to your tax return or not; it is wise to request a provisional assessment if you are expecting to pay a large due amount. This prevents tax interest being due; this is particularly important because a high tax interest rate of 7,5% will apply as of July 1st 2024.

We can assist you and request a provisional assessment on your behalf.

Foreign bank accounts in pre-filled returns

Is there a foreign account visible in your pre-filled return? The balance of foreign accounts is usually not visible in pre-filled returns. If an amount was present in the account in the last 12 years and this has not been included in your box 3 assets previously, it is wise to correct this on your own initiative. If you do not declare foreign assets, you risk a fine that can amount to 300%. Contact us and describe your situation – we will be happy to help.

Minimize wealth tax Netherlands

Once your 30% ruling terminates, you’ll be subject to regular Dutch taxation on your global wealth (Box 3 tax), which means declaring it correctly in your tax return is necessary, to avoid hefty penalties.

30 % ruling and forgot to opt for non-domestic taxation?

If you have the 30% ruling as an expat in the Netherlands, then you don’t need to declare your foreign assets. However, there have been some changes as to the 30%-ruling. This favourable ruling has been further restricted, being decided just before the elections end of last year.

The partial non-resident tax liability in combination with the 30% ruling is no longer possible. Existing 30% rulings are subject to transitional provisions, allowing the partial non-resident tax liability to remain possible until 2026. Additionally, the percentage of income benefit is being phased out. Starting from January 1st 2024, for 20 months, 30% of the salary remains tax-free. For the subsequent 20 months, a percentage of 20% is tax-free, and for the following 20 months, 10% is tax-free. For existing cases as of January 1, 2024, the old rule remains in force for the entire duration.

Be ahead and contact us on time about your tax return 2023 Netherlands! Get in touch today.

With the changes to the box 3 system it is important to keep your home in The Netherlands outside of box 3 if possible. Under certain conditions it is possible to keep the property in box 1. For 2024, the rate in box 3 will be increased from 32% to 36%.

If you live in the Netherlands, it is reasonably straightforward: if you live in your house yourself, the property is taxed in box 1. But if you leave the Netherlands, what happens then? There are a number of options.

huis in box 1 suurmond belasting

Sale

Many taxpayers think that they will have to sell their home if they leave the country. Of course, it is true that you will have less to worry about. You no longer have to spend money and time on maintenance, taxes and insurance.

Rental

If it is decided not to sell the house, renting it out is usually the next option. But currently this is not very favourable in view of the box 3 changes. Renting out your home has become less profitable due to the high box 3 rate. In addition, the favourable ‘leegwaarderatio’ has been considerably restricted which further reduces profitability of rental properties. This scheme allowed real estate to be declared at a lower value under certain conditions.

And the other option?

What many people do not realise is that there are often possibilities to keep the house in box 1, even after leaving The Netherlands. Even if the house is no longer your main residence. For example, as long as the house is empty and intended for sale, the house can be declared in box 1 until it is sold. However, this means the house cannot be rented out. However, you can still make use of mortgage interest deduction.

Furthermore, if you emigrate temporarily and keep the home for your own use, it can sometimes be kept in box 1. There are a number of conditions for this. For example, you must have owned the home for at least 1 year before moving out of the Netherlands. In addition, no one else may register themselves on the address (there are a number of exceptions to this). We would be happy to examine your situation to determine whether you are eligible for this scheme.

Have you moved to The Netherlands in 2023? There are a few things to consider then, tax-wise. We can help you file your taxes and claim any deductions or benefits you are entitled to. But not only on the tax-side can a Dutch tax advisor help you. A Dutch tax advisor can also help you understand the Dutch culture and language better and make your transition to the Netherlands smoother and easier. Hiring a Dutch tax advisor can save you time, money, and hassle in the long and short run. Our team has listed the most important tax-related questions and topics to consider for you.

5 reasons to hire a dutch tax advisor suurmond tax consultants

1: The M-form

Unlike the regular Dutch tax return for domestic tax situations, the deadline for the M-form is July 1st. The M-form is a tax return for migration situations. Several items in this form are declared and calculated on a pro-rata basis. The M-form is a complicated form and mistakes are often and easily made. Our specialists will be happy to file your 2023 M-form for you.

2:The 30%-ruling

This brings us to the next point: the 30%-ruling. If you are eligible for this favourable ruling, this means your net wealth remains untaxed and consequently your bank accounts, other investments and property abroad do not need to be mentioned in the tax returns for the years in which the 30%-ruling is applicable. However, there is a list of specific requirements you will have to adhere to in order to apply for the 30%-ruling.

3: Double taxation: optimising your tax position

If you have an international living or job situation it might be worth letting us have a look at your situation. There are often things that can be improved. For example, if your income is from a Dutch employer, it could also be taxed elsewhere if you work abroad. The 183-day rule may be applicable if this is the case. This rule prevents double taxation deduction and is therefore something that could be worthwhile looking into.

4: Self employed or business in the Netherlands?

Have you thought about getting help with payroll taxes, Dutch VAT returns, and the like? It can be a tiresome and lonely affair, trying to file Dutch corporate taxes and VAT returns. Not to mention keeping up with the bookkeeping. Or if you are starting a business in the Netherlands, it is essential to seek help from a Dutch tax advisor or accountant. We can assist and help you decide which business structure is the best for you. We can also help with the bookkeeping and with filing your taxes correctly and in a timely fashion.

5. Gift from abroad

Are you receiving a gift from abroad? A gift received from outside of the Netherlands might not be subject to Dutch tax regulations. In cases where the gift originates from someone who is neither a resident nor a Dutch citizen and has relocated from the Netherlands more than one year ago, there is no obligation to pay gift tax. However, when the money arrives in The Netherlands, it is important to be aware you may become liable for box 3 tax.

These are 5 reasons to look into hiring a Dutch tax advisor. This can prove to be very beneficial in the short and long term. We are happy to advise you in the best possible way. We will be glad to file your 2023 taxes. Click here for the rates, or call or drop us an e-mail to find out specifically how much we will charge in your situation.

As the new year looms on the horizon, businesses everywhere are gearing up for a fresh start in 2024. For expats who’ve made the Netherlands their new home and are venturing into entrepreneurship, finding the right tax accountant is a critical decision. Wondering why you should hire a Dutch accountant for the job? Here are four compelling reasons.

dutch tax accountant netherlands suurmond tax consultants

Tip 1: Navigate Dutch Tax Laws with Ease

Complying with Dutch tax laws and regulations can be a challenge. But fear not, Suurmond Tax Consultants has got your back! We ensure your filings are not only correct but also submitted on time. We also spare you the difficulty of having to communicate in a foreign language. Of course not only the language can constitute a problem, but also having to work your way through the complicated Dutch tax system often is a hard job for a foreigner. It is easy to misinterpret the system. We will guide you through the Dutch tax system with pleasure!

Tip 2: Optimize Your Tax Strategy by a Dutch accountant

Who doesn’t want to save money? Our tax accountants help optimising your tax strategy, potentially helping you benefit from incentives like the 30% ruling. Are you thinking of starting a business in the Netherlands? Then you may be able to request the 30% ruling. This means 30% of your salary is tax free. (link naar paginaaa)  If you are eligible, then the company and payroll will need to be set up before you start working. Read here how we can help you with setting up and keeping accounts.

Tip 3: Comprehensive Support and Guidance

 Starting and keeping a business running involves a multitude of financial tasks – from bookkeeping and auditing to payroll management and annual reporting. A Dutch accountant does not only offer expertise but also moral support in managing these essential aspects. Moreover, they can guide you in financial planning, investments, pensions, insurance, and inheritance, ensuring you’re on the right financial track.

Tip 4: Simplify Your Life and Save Time

Life as an entrepreneur can be hard work, and you need all the convenience you can get. Opting for a Dutch tax accountant who communicates in English streamlines your interactions with the Dutch tax authorities. No more language barriers! Plus, it just makes life easier when you have a knowledgeable Dutch accountant at your side to navigate you through the Dutch tax system.

Suurmond TaxConsultants is all for helping you start 2024 on the right financial footing. And what better way is there with a trusted Dutch tax accountant who speaks your language and the language of saving money and simplifying your financial journey! Contact us now, before the end of the year to see how we can help you.

The 30 percent ruling – a financial gem that grants you tax-free 30 percent of your salary tax-free for five years. Dubbed the “30% tax facility,” this enticing benefit extends its reach to not just employees, but entrepreneurs as well, thanks to a clever loophole. A beacon for skilled migrants, the 30% ruling boasts magnetism and, yes, a touch of controversy.Yet, this advantage isn’t an open door for every expat in the Netherlands; it rests upon a checklist of conditions.

Click here if you want to see if these conditions apply to you. But today we won’t inform you about this favourable ruling or check if you are eligable or not. If you are looking for these topics, please check out our article here! No, today we want to talk about the end of the 30 ruling. It is a big turn of events for an expat to bid farewell to the 30% ruling.

Without the 30% ruling, you can no longer opt to be considered as a partial non-domestic taxpayer. In other words, you will be treated as a full resident tax payer and you will need to be declaring foreign assets in your Dutch tax return.

Declaring foreign assets Netherlands

So if you own a second home, shares, bank accounts cryptocurrencies, NFTs, or investments, they will need to be declared in box 3. If the total sum surpasses the tax-free threshold (€50,650 per person in 2022), you will need to declare them in your annual income tax return under Box 3. Conversely, you can offset debts like a student loan or secondary home mortgage. Moreover, after your 30% ruling has ended, dividend from a major shareholdership is taxable under Box 2.

What actually is box 3 ?

Box 3 tax applies to your worldwide net wealth – savings, investments, and real estate. Taxation isn’t on asset income or gains but on an estimated yield derived from the asset value. From 2027, a new system will replace current box 3 taxation, annually taxing regular income and asset value growth, i.e. capital gains. A new system? Yes, if you have followed the Dutch news these past 2 years, you would have noticed the box 3 taxation in the front headings!

Box 3 Netherlands

Basically, The Dutch wealth tax, also known as Box 3 tax, taxes notional income from savings and investments. It’s currently undergoing changes and applies to assets as of 1 January. A recent High Court decision has led to the temporary suspension of Box 3 tax assessments. It’s advisable to await clearer guidance on reducing Box 3 tax before taking action. The High Court emphasized that the assumed investment returns can pose a significant financial burden, especially for those with savings.

Minimize wealth tax Netherlands

Once your 30% ruling terminates, you’ll be subject to regular Dutch taxation on your global wealth (Box 3 tax), which means declaring it correctly in your tax return is necessary, to avoid hefty penalties.

30 % ruling and forgot to opt for non-domestic taxation?

Even if you’re still under the 30% ruling but haven’t chosen partial non-domestic taxation, your (worldwide) assets in Box 3 must be declared. Dutch property, excluding your primary residence, is always taxable in box 3, even during the 30% ruling. Ensuring correct partial non-domestic taxation opt-in is advised, as errors are common. If you’ve overlooked this which is not uncommon, we can assist in clarifying your tax obligations.

“Dutch property, excluding your primary residence, is always taxable in box 3, even during the 30 ruling

It is wise to let one of our experts have a look at your situation if your 30 ruling is ending. Imagine a scenario featuring a German expat whose 30% ruling concludes on January 1st, 2021. As her non-domestic taxpayer status ends, she will have to pay Dutch box 3 tax for her worldwide assets. On savings in Germany, Dutch box-3 tax is now applicable. Our tax specialists can aid her in crafting strategies to mitigate her tax obligations. One option involves reallocating savings to partially repay her Dutch mortgage, resulting in reduced box 3 tax liability, though accompanied by diminished mortgage relief. This not only cuts down the mortgage interest but also lowers savings, translating to decreased box 3 taxation.

Contact us and find out what can be done in your situation!