Last night, the Dutch State Secretary of Finance informed Dutch Parliament that transitionary rules will be introduced for those employees whose 30%-ruling would prematurely end in 2019 or 2020 as a result of the earlier announced reduction of the maximum term of the 30%-ruling to 5 years.

Based on the wording that has been used in the letter to announce these transitionary rules, we believe that employees whose rulings have an original end date between 1-1-2019 and 31-12-2023 or, put in another way, whose first date of employment in the Netherlands was before January 1, 2016, become eligible for these transitionary rules. It is not yet clear what these transitionary rules will hold and how the eligible group will exactly be determined. Moreover, Dutch Parliament still has to agree to the proposals that have not been made public yet in full detail.

We will keep a close eye on the developments and will let you know immediately when more news will become available. Please contact us to find out whether you or your employees will become eligible for the transitionary rules.


October 2018