These skills are determined by several factors such as salary, age, employment history, education and level of employment. You must have specific skills that are scarce in the Dutch labour market. You must have specific experience or expertise that is not or is rarely available in the Netherlands.In addition, you must have lived a distance of more than 150 km from the Dutch border for more than 16 months out of the 24 months prior to your first working day in the Netherlands. You must prove that you were residing outside the Netherlands before you began your present employment in the Netherlands. It is only possible to claim the 30% ruling if you are transferred or recruited from abroad. You must transfer or be recruited from abroad.This agreement in writing can be done by means of a clause in your employment contract or as an addendum to your employment contract. Therefore the tax authorities require that both employer and employee are aware of these consequences. This may have implications for your potential unemployment or disability benefits since these benefits are based on your taxable salary. If the 30% ruling is fully applicable, your gross salary will be reduced by 30%. The application for the 30% ruling must be agreed on by both employer and employee. You and your employer must agree in writing that the 30% ruling is applicable.for instance, and become an employee of that company, you are considered to be in an employment situation and consequently may be eligible for the 30% ruling. However, if you set up a legal entity, a Dutch B.V. If you are self-employed, it is not possible to claim the 30% ruling. To be eligible for the 30% ruling, you have to be in an employment situation. If you are an international recruited from abroad for a position in the Netherlands, you must meet the following conditions in order to qualify for the 30% ruling: You and your employer must agree in writing that the ruling is applicable. In practice, the employer can partially or fully take the benefit themselves. However, the employer is not obliged to pass on the financial benefit of the ruling to the employee. This is the most common way it is applied as it does not influence the salary burden for the employer. In return, you receive a 30% allowance as reimbursement for expenses. What are the financial benefits of the 30% ruling?įrom a tax perspective, the salary agreed upon between you and your employer will be reduced by 30%.
This reimbursement is intended as compensation for the extra costs that international employees can incur when moving to a new country for their work. When the necessary conditions are met, the employer can grant a tax-free allowance equivalent to 30% of the gross salary subject to Dutch payroll tax. The 30% reimbursement ruling (also known as the 30% facility) is a tax advantage for highly skilled migrants moving to the Netherlands for a specific employment role.