What box 3 covers

The Dutch tax system splits income into three boxes. Box 1 is income from work and your home. Box 2 is income from a substantial shareholding, usually 5% or more of a company. Box 3 is income from savings and investments.

Box 3 does not tax the return you actually earn. It assumes a return on your assets, and taxes that assumed amount. This is why people with low interest savings sometimes feel they are taxed on money they never earned.

The rates for 2026

  • Tax rate on the deemed return: 36%.
  • Tax free allowance: €59,357 per person, so €118,714 for fiscal partners.
  • Deemed return on savings: 1.28%.
  • Deemed return on investments and other assets: 6%.
  • Deemed return on debts: 2.7%, but only on the part of your debts above €3,800 per person.

Your assets are measured on 1 January of the year. Bank balances, shares, funds, crypto, a second home and money lent to others all count. Your main home does not count in box 3.

A worked example for savings

Say you are single with €100,000 in savings and no debts:

  • Your assets above the allowance are €100,000 minus €59,357, so €40,643.
  • The deemed return is 1.28%, so €1,280 on the full €100,000.
  • The tax is worked out proportionally on the amount above the allowance: about 1.28% of €40,643 at 36%, which is roughly €187.

The same amount in investments

With €100,000 in shares instead:

  • The deemed return is 6%.
  • Tax is about 6% of €40,643 at 36%, which is roughly €878.

The gap is large. Because the state assumes 6% on investments, investors can be taxed on gains they did not make in a bad year.

Why this is changing

Dutch courts have ruled several times that taxing a fictitious return is unfair. The government has said box 3 will move to a system based on actual returns, with a planned start date of 2028. Until then, you can sometimes object to your assessment and claim that your real return was lower than the deemed one. Courts have allowed this in some situations, and the tax office has a process for it.

What you can do

  • File your return and check the box 3 section carefully.
  • Keep your 1 January balances and your actual returns for the year.
  • If your real return was lower than the deemed return, you can ask for the assessment to be reviewed.
  • Be careful with debts. Only those above the threshold count.
  • Fiscal partners can split assets between them to make the best use of both allowances.

Is it worth moving assets?

Some people move money into a pension or into their main home mortgage repayments, since neither counts in box 3. That can lower the tax, but it also ties your money up, so think about the other effects before doing it.

Compare your income taxes with our Netherlands salary calculator, and always check the latest rules on belastingdienst.nl before filing.

A mixed portfolio example

Say you are single with €50,000 in savings and €70,000 in shares, and no debts on 1 January.

  • Total assets are €120,000, and the allowance is €59,357, so €60,643 is above it.
  • Deemed return on savings is 1.28% of €50,000, which is €640.
  • Deemed return on investments is 6% of €70,000, which is €4,200.
  • Total deemed return is €4,840, an overall rate of about 4.03%.
  • The part above the allowance is €60,643 out of €120,000, so about 50.5% of the return is taxed. That is roughly €2,446 at 36%, so about €881 in tax.

The tax depends on what you hold. Moving the same €70,000 from shares into savings would cut the deemed return from €4,200 to about €896, and the tax would fall sharply. That is a reason to read the box 3 rates before you decide where to keep your money, though your actual investment goals should come first.

Questions people ask

Is my main home in box 3? No. Your own home is in box 1 and is not part of your box 3 assets.

Which date counts? Your assets are measured on 1 January of the year. Money you spend on 2 January still counts.

Can I ask for a refund? If your actual return was lower than the deemed return, you can object to your assessment and ask for a review, and keep proof of your balances.

Do gifts and loans count? Yes. Money you lend to family counts as an asset, and money you owe counts as a debt, subject to the threshold.

Do I need to report my balances? Your bank usually reports them to the tax office, and they appear in your pre-filled return. Check them against your own records.

Will actual returns replace the deemed return? The government plans to move to a system based on real returns, with a start date currently set for 2028, so check the latest news when you file.