Regime Rate
30%
Under the 30% Ruling
Standard Top Rate
49.5%
without this regime
Duration
5 yrs
Maximum 5 years from application
Target Profile
Income Exclusion
Netherlands
Tax Savings Illustration
Example: €150,000 Annual Gross Income
Under 30% Ruling
€36 382
Standard Rate
€51 975
Annual Saving
+€15 593
Eligibility Requirements
Who qualifies?
- Highly skilled migrants recruited from abroad with scarce expertise
- salary >€46,107/year (2024)
How the Regime Works
Full details
30% of gross salary paid tax-free as expense allowance for years 1–2; drops to 27% in years 3–5 (2027+). Choose foreign partial non-resident status (Box 2/3 exemptions). Not applicable to Dutch nationals returning after <10 years.
Regime vs Standard Rates in Netherlands
| Tax Type | Standard Rate | Under This Regime | Saving |
|---|---|---|---|
| Income Tax (top rate) | 49.5% | 30% | -19.5pp |
Frequently Asked Questions
What is the 30% Ruling in Netherlands?
The 30%-Regeling voor ingekomen werknemers is a special tax regime in Netherlands that provides 30% flat rate to qualifying individuals or entities. 30% of gross salary paid tax-free as expense allowance for years 1–2; drops to 27% in years 3–5 (2027+). Choose foreign partial non-resident status (Box 2/3 exemptions). Not applicable to Dutch nationals returning after <10 years. Legal basis: Art. 10ea UBLB; 2024 cap reform IB 3002.
Who is eligible for the 30% Ruling?
Eligibility for the 30% Ruling is limited to: Highly skilled migrants recruited from abroad with scarce expertise; salary >€46,107/year (2024). Applicants typically must not have been Netherlands tax residents during a specified prior period. Always verify current conditions at the source: Art. 10ea UBLB; 2024 cap reform IB 3002.
How much tax do you pay under the 30% Ruling?
Under the 30% Ruling, you pay 30% flat rate on qualifying income — significantly lower than Netherlands's standard top rate of 49.5%. On €150,000 gross, you save thousands of euros per year.
How long does the 30% Ruling last?
The 30% Ruling lasts for 5 years from the year you first qualify. After this period, standard Netherlands tax rates apply unless you qualify for another regime or change tax residency.
How do I apply for the 30% Ruling?
Application procedures for the 30% Ruling are set out in Art. 10ea UBLB; 2024 cap reform IB 3002. You typically need to file a formal application with Netherlands's tax authority after establishing residency. Consult a local tax advisor for guidance.
Other Special Regimes to Compare
Disclaimer: This information is for general guidance only and does not constitute tax advice. Tax laws change frequently. Always consult a qualified tax professional before making residency or tax planning decisions.