Dutch 30% Ruling

The 30% ruling is a tax benefit that can be implemented in the payroll services. If such a 30% ruling has been obtained, 30% of the gross income is exempt from taxation. The normal Dutch tax rates do apply on the other 70% gross taxable income. When all is said and done, this is the most advantageous tax benefit we have in the Netherlands.

If the 30% ruling has been granted, then you can trade in your non-EU driving license for a Dutch one, you can have the costs of your children’s international school reimbursed tax-free, and you do not need to declare your world wide assets in the Netherlands (Box 3). If you are a US national or a US green card holder, then you can deduct the days you spend outside the Netherlands for work from the Dutch tax burden.


  • You have to have been recruited from abroad. ‘Abroad’ means at least 150km from the Dutch border. If you were living inside the 150km limit, then you must not have lived there for more than 8 out of the last 24 months. If that is the case, you can still apply; you can also apply if you were recruited as a shareholder of your company from abroad, or equally if you were recruited abroad by us as a user of our umbrella company’s services.
  • You need to have a particular expertise or skill that is hard to find in the Netherlands. This has to be proven to be so but the level of the salary is taken as an indication of the expertise. A salary above EUR 50.619 (including the ruling) implies that you might have the expertise we need for the ruling. For a Master’s degree holder under 30 years of age there is a lower salary requirement, for scientific employees there is no salary requirement.
  • The 30% ruling period lasts for 8 years. However, this 8 year period also includes any periods of residence spent in the Netherlands during the past 25 years.
  • The ruling is applied retroactively up to a maximum of four months.


Change of employer with 30% ruling

If you have already obtained the 30% ruling and you would like to change employer, then you can still re-apply through the new employer as long as you were not unemployed for more than 3 months between jobs. Applicants who obtained the 30% ruling under the new rules (starting January 1, 2012) must file their new application under the same rules. Applicants who obtained the 30% ruling under the old rules can apply again under the old rules if their first ruling was granted before January 1, 2007. If the first ruling was granted later than this, then the new rules apply, except for the 150km limit and the 25 year reference period.

No 30% ruling and no chance of meeting the requirements – extra territorial expenses

If you have come from abroad but do not qualify for the 30% ruling, then you may still claim extra territorial expenses as a tax-free reimbursement. This option is much less attractive than the 30% ruling but does provide a relief for the extra costs incurred in working abroad (in the Netherlands).

During the set-up of the payroll we will be able to fully inform you what can and cannot be reimbursed tax-free. This is part of the general payrolling service.