Dutch Coalition Agreement Shifts Wealth Tax Focus to Realized Profits

Fri, 30 Jan 2026 18:36:39 +0000

The Hague, Friday 30 January 2026 On Friday, 30 January 2026, the incoming Dutch minority coalition comprising VVD, D66, and CDA unveiled a pivotal fiscal reform, agreeing to scrap the controversial annual levy on unrealised capital gains within the Box 3 wealth tax system. This strategic pivot moves the Netherlands towards taxing actual realised returns upon asset disposal, directly addressing concerns from the VNO-NCW business lobby regarding the investment climate for startups and venture capital. While the existent proposal to tax ‘paper profits’ from 2028 is now framed merely as an interim step, this agreement signals a definitive legislative shift. Crucially for real estate investors, the coalition also plans to lower the transfer tax for rental properties to 7 per cent while maintaining the mortgage interest deduction. However, as opposition factions label the accord an ‘opening bid’, the precise legislative timeline for this transition to a full capital gains tax remains subject to parliamentary negotiation.

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Dutch Coalition Agreement Shifts Wealth Tax Focus to Realized Profits