๐ณ๐ฑ Netherlands proposes 36% tax on Unrealized Gains
Applies to:
Stocks
ETFs
Savings
Crypto
Each year, authorities would assess how much your portfolio increased in value and tax that paper gain at 36% โ even if no assets were sold.
Example Scenario:
Initial Investment: โฌ100,000
Year-End Value: โฌ140,000
Unrealized Profit: โฌ40,000
Tax-Free Allowance: โฌ1,800
Taxable Gain: โฌ38,200
Tax @36% = โฌ13,752
โก๏ธ Investor pays โฌ13,752 in tax
โก๏ธ No assets sold
โก๏ธ No cash withdrawn
Next Year Crash:
Portfolio falls from โฌ140K โ โฌ60K
No tax owed due to loss
Loss Carryforward Created: โฌ80K
Year 3 Recovery:
Portfolio rises from โฌ60K โ โฌ110K
Still:
โฌ30K loss carryforward remains
No tax owed this year
3-Year Summary:
Initial Capital: โฌ100,000
Total Tax Paid: โฌ13,752
Portfolio Value: โฌ110,000
Real Net After Tax: โฌ96,248
โก๏ธ Portfolio shows โฌ10K gain
โก๏ธ But investor is actually below original capital after taxes
โ ๏ธ Risk Factor:
Investors may be forced to liquidate holdings just to pay tax on unrealized gains.
Losses can offset future gains
But:
No refund on past unrealized taxes paid
๐
Status:
Awaiting Senate approval
If passed, implementation begins Jan 1, 2028
#NetherlandsTax #UnrealizedGains #CryptoPolicy