Decree tax exemption box 3 income (income from equity) for non qualifying foreign tax residents

The Dutch Supreme Court gave its judgement in the cases J.B.G.T. Miljoen (ECLI:NL:HR:2016:362) and Société Générale S.A. (ECLI:NL:2016:361), after some preliminary questions to the European court of justice about portfolio shares. The Dutch State Secretary of Finance decided to change the appliance of Dutch law according to the Supreme Court’s judgement.

According to the European Court of judgement the exemption for the tax-free allowance in Box 3 (capital gains) has to be applied to nonresident stakeholders as well as resident stakeholders, because the exemption is applicable to all residents, no matter what their personal situation is. Not applying the exemption on non residents would be against one of the four fundamental liberties of European law, namely freedom of capital.

The Dutch State Secretary is of the opinion that the exemption should not only apply to non resident stakeholders, but to all non residents with a Box 3 income. He therefor decided that all non residents with a Box 3 income can claim the exemption. Here you will find the link to the Decree: https://zoek.officielebekendmakingen.nl/stcrt-2016-22561.html