You must pay capital gains tax on certain assets, including your savings, in box three of our tax system. This levy has replaced the wealth tax. In our country you have to pay taxes on your money several times. Initially you will be confronted with the difference between the gross salary and the net salary. In addition, when you spend the money, you also have to pay taxes in the form of VAT and excise duties. Once you manage to build up a reserve, you also have to pay tax on your savings (your assets). Our tax system is divided into three boxes, namely box one, two and three. Box one includes income and your own home, box two will tax you for any substantial interest, and box three includes assets. When you exceed the applicable exemption, you must start paying tax.
From what amount do I have to pay capital gains tax?
The exemption amount will vary from year to year. The exemption for 2010 amounts to 20,661 per taxpayer. A married couple therefore has a joint exemption of 41,322. You will have to pay tax on the excess.
Which assets fall under box three?
This includes your savings and invested assets, but also your second home and a boat. Antiques that you have in your home as utensils are not subject to the levy.
How is power determined?
The Tax Authorities use two measurement moments for this, namely January 1 and December 31 of the tax year. Tax must be paid on the average of these two amounts.
How much tax do I have to pay?
The Tax Authorities assume an assumed return of four percent that you can make on your assets. The tax authorities do not care to what extent you are actually able to realize such a return. You must pay 30 percent tax on this return. You must therefore pay 1.2 percent (30 percent of 4 percent return) tax on top of your exemption.
Negative return, yet capital gains tax
In a year in which you have made a negative return, you still have to pay 1.2 percent tax on the average capital in that year. If you had an invested capital of 50,000 on January 1 and on December 31 you still have 40,000 left due to a negative price development, you still have to pay tax on the average capital on the assumed return.
How can I reduce the capital gains tax?
It is illegal to withhold assets from the tax authorities. In the years 2008 to 2010, the government took measures against undeclared savers abroad. Money was deposited with foreign banks and was concealed in the tax return in the Netherlands. Many black savers made use of the voluntary disclosure scheme during this period. These undeclared savers could temporarily declare their savings; if they did not do so, they would receive a fine of up to 300 percent when it was later discovered or declared. You can of course make a large purchase to reduce your capital, but spending money to avoid the 1.2 percent tax is also not wise.
It is best to ensure the best possible return on your savings. In addition to the capital gains tax, you also have to deal with annual inflation, which means that your money is becoming less and less valuable. The only thing you can do is ensure the highest possible savings interest or another way to make a high return. You must remember that high returns also entail high risks. See also: Capital gains tax is too high