Proposed new Box 3 system
A new Box 3 system based on the actual return is planned to apply from 2027. In October 2023, anyone who wanted to could still respond to a proposal by the outgoing cabinet for a new box 3 system. Partly as a result of the many responses to this proposal, a number of adjustments were made.
Adjustment: first home*
In the first proposal for a new box 3 system, the first home in box 3 received a different treatment with a separate flat rate. This different treatment will no longer apply, as a result of which the first home, like all other real estate, will also fall under capital gains tax.
Attention! For the own use of an immovable property is still at a fixed amount. This lump sum determines the benefit a taxpayer has through the own use of the immovable property.
*This is the first home you have in addition to the house you registered living in.
Adjustment: loss compensation
Initially, the possibility of being able to deduct losses in Box 3 with the past as well was still being considered. That possibility does not appear in the amended proposal, so that loss deduction will only be possible with future years. That future loss compensation, however, will be possible without limitation.
Adjustment: Already owned real estate and shares
The first proposal forgot to include a so-called step-up for real estate and shares in a family or start-up business already owned by a taxpayer on Jan. 1, 2027. This would mean that changes in assets occurring before Jan. 1, 2027, would be taxed as of 2027.
To avoid this, the amended proposal values real estate and shares in a family or start-up business that are already owned by a taxpayer on January 1, 2027 at that date at fair market value.
Attention! For homes in box 3, on January 1, 2027, the WOZ value will apply and not the fair market value.
Other adjustments
Under the amended proposal, the price for buying a beneficial right (for example, the right to future interest or dividends) is not deductible all at once in the year the beneficial right is established. Instead, the price is deducted in installments in the years in which the right of the benefit exists. Also, unlike the earlier proposal, exchange gains or losses on foreign currency bank deposits are still taxed.
Not definitive yet!
The proposal for a new box 3 system, even after the aforementioned adjustments, is certainly not yet final. It is up to the new Lower House and the new cabinet to determine how the new box 3 system will be shaped.
The recent judgments of the Supreme Court that relate to the current box 3 system demand a lot from the capacity of the Tax Authorities. Therefore, the Tax Authorities recently informed the State Secretary that there is insufficient capacity to fully implement the new box 3 system as of January 1, 2027 in the form in which it is currently included in the bill.
The Deputy Minister is therefore currently investigating which alternatives are feasible. Among other things, a phased introduction is being considered. The Deputy Minister has indicated that his starting point remains the introduction of a new box 3 system on January 1, 2027. The Deputy Minister hopes to present the results of his investigation into alternatives to the Lower House by the end of 2024.
Fixed-rate returns percentages 2023-2025
Together with the adjustments, the Deputy Minister also announced the final standard return rates for bank balances and debts for the year 2023 and the final standard return rates for other assets for 2025. The percentages for bank balances and debts in 2024 are also known. You can find them in the following table
2023 | 2024 | 2025 | |
Bank balances | 0,92% | For now 1,03% | Not yet known |
Other possesions | 6,17% | 6,04% | 5,88% |
Debts | 2,46% | For now 2,47% | Not yet known |
Attention! The final determination of the fixed rates of return for bank deposits and debt for the year 2024 cannot be made until early 2025.
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