Some details about the Dutch budget for Prince's Day have been leaked and the 30 percent ruling is on the chopping block once again. The caretaker government plans to make further cuts to the expat tax break.
Dutch government plans cuts to expat tax break
The 30 percent ruling has been the subject of debate many times in election manifestos and budget talks. As Budget Day approaches on September 16, the tax break is being revisited yet again.
As it stands, the 30 percent tax ruling allows a select group of highly-skilled migrants who move to the Netherlands for work to claim the first 30 percent of their income as tax-free during the first five years of residency. During last year's budget, the cabinet already agreed to slightly reduce the tax break from 30 percent to 27 percent in 2027.
According to De Telegraaf, the outgoing government plans to reduce the tax break, but it is uncertain by how much. The aim of the reduction is to generate 20 million euros annually for the national budget.