The Netherlands 30% ruling allowed qualifying foreign-recruited employees to receive 30% of their gross salary tax-free for up to 5 years. The benefit was material for high-earner expat families.
The original ruling
The Netherlands 30% ruling allowed qualifying foreign-recruited employees to receive 30% of their gross salary tax-free for up to 5 years. The benefit was material for high-earner expat families.
What changed in 2024
The 30% ruling was tightened from January 2024. The 30% tax-free portion now reduces over time (30% for the first 20 months, 20% for the next 20 months, 10% for the final 20 months). The qualifying salary threshold was also raised. Pre-2024 rulings are generally grandfathered under the old rules for their original duration.
Who qualifies
Foreign-recruited employees hired from outside the Netherlands with specific skills meeting the salary threshold. Some specific categories (PhD researchers, certain teaching roles) have different thresholds.
What this means in practice
For new expat hires from 2024 onwards, the lifetime tax benefit of the ruling is approximately half of what it was pre-2024. For families already enrolled before 2024, the original benefit largely continues.