BOX 3 SPECIAL – 2028 RESET
- Jenifer Benton
- 10 hours ago
- 3 min read
Taxation of Actual Return Replaces Deemed Return
As of 1 January 2028, the Dutch Box 3 system will fundamentally change.
The current system based on deemed (forfaitaire) returns will be replaced by taxation of the actual return achieved.
This reform will significantly impact investors, real estate owners, high-net-worth individuals and cross-border taxpayers.
What Will Change in 2028?
What Will Change in 2028?
The new system introduces two different taxation methods, depending on the type of asset.
1. Wealth Accrual Tax (Vermogensaanwasbelasting)
Applies to most financial assets, including:
Shares and bonds
Investment funds
Savings
Crypto assets
Other securities
Tax is levied annually on:
Actual income received (interest, dividends)
Unrealised value increases
This means that paper gains will be taxed, even if they have not been realised.
2. Capital Gains Tax (Vermogenswinstbelasting)
Applies to:
Real estate
Shares in start-up companies
Under this regime:
Rental income is taxed annually
Value increases are taxed only upon sale (realisation)
This aligns more closely with how real estate investments operate in practice.
3. Limited Loss Compensation
From 2028 onwards, loss offsetting becomes possible — but only against future profits.
Not permitted:
Offsetting losses against previous years
Transferring losses upon death
Compensation if future gains do not materialise
As a result, the effective tax burden may exceed the nominal 36% rate in certain scenarios.
Example
An investor achieves an average annual return of 6% over five years, but suffers a significant loss in the final year. Shortly thereafter, the investor passes away.
The loss can no longer be offset.
The effective tax burden on the total return may rise to approximately 60%.
4. Transitional Effect as of 1 January 2028
On 1 January 2028, all Box 3 assets will be reset to their fair market value.
This may lead to taxation of recovery gains.
Example:
2027 portfolio value: €100,000
End of 2027: market crash → value declines to €70,000
1 January 2028: new fiscal starting value = €70,000
2028 recovery to €100,000
The tax authorities will treat the €30,000 recovery as taxable profit, even though economically no real gain has been achieved.
The reverse scenario may also occur: a gain in 2027 followed by a decline in 2028 may generate a deductible loss.
Timing toward 2028 therefore becomes strategically important.
5. Considering a Private Limited Company (BV)?
In practice, we observe that more taxpayers are considering transferring assets into a Dutch BV structure.
Potential advantages:
Broader loss offsetting possibilities within corporate income tax
Ability to reinvest profits within the company
In some cases, greater predictability
Points of attention:
Corporate income tax combined with Box 2 taxation may result in a higher overall tax burden
Additional administrative obligations
Cash flow planning becomes essential
A BV is not a standard solution, but in certain cases it may be fiscally and strategically beneficial.
6. What Should You Do?
The years 2026 and 2027 are crucial for strategic planning:
Analyse your current Box 3 position
Compare private ownership versus BV structure
Assess exposure to market volatility
Plan liquidity for future tax payments
Consider timely restructuring if appropriate
7. Our Recommendation
The transition to taxation of actual return represents a major modernisation of the Dutch wealth tax system. However, it also introduces complexity and planning risks.
Timely analysis and structuring can help prevent unexpected tax pressure.
If you would like to understand how these changes affect your personal situation, we would be pleased to prepare:
A scenario analysis (private vs. BV)
A tax burden projection
A liquidity impact assessment
A strategic restructuring review
Please contact us to schedule a personalised advisory session.
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