Dutch parliament approves capital gains tax in box 3 after months of debate

The Dutch House of Representatives has approved a new tax plan for box 3 assets after months of debate. Starting in 2029, taxes on most assets like stocks, bonds, and real estate will be based on realized gains at the time of sale. Conversely, assets including savings, crypto, and insurance products will be subject to a wealth accrual tax, where taxes are paid annually on paper gains. The government intends to transition all assets to a realized gains tax system by 2030, as it was deemed unfeasible to implement by the original 2029 target.

While the bill secured support from several parties in the House, its implementation remains subject to approval by the Senate. The current box 3 system, which utilizes a fictitious return rate, will remain in place until the new regulations take effect. The proposal has faced significant criticism from the Council of State and the Tax Authorities regarding its feasibility, leaving uncertainty about whether the Senate will provide the necessary final approval to proceed with these sweeping changes.