Starting from January 1, 2019, the 30% ruling period has been reduced from eight to five years. There is a transitional arrangement for employees who have already been entitled to 30% ruling before that date. We strongly recommend that these employees check this, set the end date according to the following schedule, and enter the new date in payroll administration.
End date on 30% ruling issued before 1 January 2019
New end date
2019 or 2020
Equal to the end date on the original 30% ruling notification
2021, 2022 or 2023
December 31, 2020
2024 or later
The end date on the 30% ruling notification minus three years
This means that the 30% ruling can be terminated from January 1, 2021. This will affect the net income and change the partial tax position of non-residents. Tax advice is desirable.
The transitional rule does not apply to employees whose 30% ruling start date is after January 1, 2019.
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