Transitional law regarding the 30% – ruling proposed after all
In the 2019 Tax Plan a reduction of the validity of the 30%-ruling was proposed from 8 to 5 years. No transitional law was included for existing 30%-rulings. With the consequence that employees with a 30%-ruling valid until the 31st of December 2021 would lose their 30%-ruling as per the 1st of January 2019.
TRANSITIONAL LAW PROPOSED AFTER ALL
Following the withdrawal of the abolishment of the dividend withholding tax, the Dutch Government has proposed a new package of measures to promote the business climate in the Netherlands. In this package also transitional law regarding existing 30%-rulings is included. Under the proposed transitional law the validity of existing 30%-rulings valid until the 31st of December 2020 will not be reduced. The validity of existing 30%-rulings valid past the 31st of December 2020 will be shortened, but not further than the 31st of December 2020.
WHAT ARE THE CONSEQUENCES IN YOUR SPECIFIC SITUATION?
When you have questions regarding the validity of your 30%-ruling, or the 30%-ruling of your employees? Feel free to contact us, 088 185 00 00.