The 30% Ruling is a tax exemption for highly skilled migrants in the Netherlands. One of the conditions for applying the 30% Ruling is the requirement for the taxable part of the income.
In 2024, new requirements will come into force for obtaining or maintaining the 30% Ruling.
The new requirements for the taxable part of the income are as follows:
- over 30 years of age must be more than €46,107 per year (2023: €41,954 per year).
- under 30 years of age with a master’s degree must be more than €35,048 per year (2023: €31,891 per year).
30% ruling holders who are turning 30 years old this year should pay extra attention. At the moment the employee reaches the age of 30, the requirement for the minimum income for employees over 30 years of age begins to apply.
Important update! On December 19, 2024, the Dutch Parliament debated and voted on the Tax Plan 2024 (Belastingplan 2024), including two amendments that were proposed to change the 30% Ruling and the status of partial tax residents.
Under the new rules, which will come into effect on January 1, 2024, the 30% Ruling will be phased out for all new expats moving to the Netherlands.
- The first 20 months of employment in the Netherlands: 30% of the salary is tax-free.
- The next 20 months of employment in the Netherlands: 20% of the salary is tax-free.
- The last 20 months of employment in the Netherlands: 10% of the salary is tax-free.
The status of partial tax residents for all those who move to the country after January 1, 2024, it will cease to apply from January 1, 2025. For those who used it in 2023, they are allowed to keep this status until December 31, 2026.