Dutch Government Prepares Concessions to 36% Paper-Profits Tax as Senate Weighs 2028 Plan
Updated
Updated · Financial Times · Jun 6
Dutch Government Prepares Concessions to 36% Paper-Profits Tax as Senate Weighs 2028 Plan
3 articles · Updated · Financial Times · Jun 6
Summary
The Netherlands is drafting concessions to soften a planned 36% annual tax on unrealised gains from savings, shares, bonds and crypto, with options due before the end of June.
The retreat follows sustained criticism from investors and business groups, who say taxing paper profits would create liquidity strains, heavy administrative burdens and damage the country’s appeal as an investment destination.
Officials are considering loss carry-back rules and a revised definition for start-ups and scale-ups, which are exempt alongside property and taxed only when gains are realised.
The bill passed the lower house in February under the previous government, but any changes need a fresh vote and Senate approval, leaving Prime Minister Rob Jetten’s minority coalition dependent on opposition support.
Set for January 2028, the Box 3 overhaul was meant to replace a court-rejected tax on notional returns, yet it has turned the Netherlands into a test case in the wider fight over taxing the wealthy.
As the Netherlands taxes unrealised gains, are wealthy investors across Europe next on the list?
Is the Netherlands' 'fair tax' plan about to trigger a mass exodus of investors and startups?
Dutch Box 3 Actual Return Act: 2026 Amendments, Startup Exemptions, and the Future of Wealth Taxation
Overview
The Dutch government is facing strong public criticism over the proposed 'Actual Return in Box 3 Act,' leading to a period of legislative uncertainty and a commitment to significant amendments. Key officials have acknowledged the need for revisions, especially to address concerns from startups about high taxes on employee shares and the lack of practical exemptions. The government is now working on changes that aim to better reflect actual investment returns, reintroduce a loss carry-back provision, and create a fairer tax system. The bill’s future depends on these amendments gaining enough political support, with the Senate playing a crucial role in the final decision.