Also known as the 30% facility or the “30% regeling” in Dutch, the 30% ruling is a tax advantage introduced by the Dutch government to attract foreign specialists with a scarce or specific expertise to come and work in the Netherlands.
If you are considering coming to the Netherlands to work in a highly-skilled profession, then the 30% ruling may be of interest to you - it offers specialised foreign workers the opportunity to significantly save on their income tax. Here’s what you need to know about the 30% ruling in the Netherlands.
The 30% ruling is a tax advantage for highly skilled migrants working in the Netherlands. In a nutshell, under the 30% facility, the employee’s gross taxable salary is reduced from 100% to 70%, making 30% of the salary tax-free. Note that from 2027 this will be reduced to 27% - see below.
The 30% ruling is intended as a reimbursement for expenses that expatriates incur when relocating to the Netherlands and working away from their home country. These expenses include:
The 30% ruling is coordinated and supervised by the Belastingdienst (Dutch tax office).
In addition to the tax break, the 30% ruling has other advantages. These include:
Entrepreneurial expats can also use the 30% ruling if employed by their BV (limited liability company), or they can take advantage of this tax advantage to attract more specialists from abroad.
To benefit from the 30% ruling you must meet certain requirements that define you as a highly skilled migrant.
For the purposes of the ruling, someone is generally considered highly skilled if their salary meets a predetermined threshold after the 30% deduction has been applied. There are two thresholds: a general one, and a lower one for people under the age of 30 with a master’s degree.
In 2025, the thresholds are as follows:
This corresponds to gross annual salaries (before the 30% ruling has been applied) of 65.867 euros or 50.069 euros for younger people with a master’s degree. This is the minimum salary you can earn to qualify for the 30% ruling in 2025.
Expats conducting scientific research at institutions such as Dutch research universities are always eligible for the 30% ruling. In such cases, there are no salary requirements.
You can check the minimum salary requirements for previous years in the below table:
| Year | Minimum salary at 70% | Minimum salary at 70% for people below the age of 30 with a master’s degree |
|---|---|---|
| 2024 | 46.107 euros | 35.048 euros |
| 2023 | 41.954 euros | 31.891 euros |
| 2022 | 39.647 euros | 30.001 euros |
| 2021 | 38.961 euros | 29.616 euros |
| 2020 | 38.347 euros | 29.149 euros |
On top of exceeding the minimum salary threshold, you must also meet some other requirements, which are:
If you meet the requirements, the Dutch tax office (Belastingdienst) will issue you with a "valid decision" that permits you to make use of the 30% ruling.
It’s possible to work out the fiscal benefit of the 30% ruling by calculating 30% of your gross annual salary. This amount is free from payroll and income tax. The remaining 70% of your gross salary will be taxed at the corresponding tax rate.
Note that as of January 1, 2024, the maximum salary eligible for the 30% ruling is capped at 233.000 euros per year. Any income earned above this threshold does not benefit from the tax deduction.
Pension premiums and bonuses do not usually fall under salary recognised by the ruling. Neither do severance payments. However, bonuses, holiday allowances, benefits packages and company cars all fall under the ruling.
This income tax calculator from Blue Umbrella can illustrate how the 30% ruling impacts your taxable income:
Since the 30% ruling has undergone a number of changes since it was first introduced, the length of time for which you can claim it depends on when your application is or was approved, as follows:
As of January 1, 2024, the 30% ruling has been adjusted so that in future the tax advantage will amount to a maximum of 27% (as in, a maximum of 27% of someone’s salary will be tax-free, leaving the remaining 73% subject to regular taxation). This will come into effect from 2027.
The change only applies to expats who started using the 30% ruling on or after January 1, 2024. If you were already benefitting from the ruling before 2024, you will continue to receive 30% of your gross salary tax-free for five years.
Another change as of 2024 is that a maximum salary threshold applies. As of January 1, 2024, the 30% ruling can only be applied to a maximum salary of 233.000 euros per year. If you have been receiving the 30% ruling since 2022, this threshold will apply from January 1, 2026.
From 2025, employees can no longer opt for partial non-residency status when it comes to their box 2 and box 3 taxes. This status will be abolished as of January 1, 2025, and 30% ruling beneficiaries will have to pay the same box 2 and 3 taxes as regular residents of the Netherlands.
Your employer will usually apply for the 30% ruling on your behalf, or you can submit an application together. You need to apply directly via the Belastingdienst website. You have to fill out a form, print it, and send it to the tax office.
You’ll need to provide some supporting documents and information with your application. This could include the following, but if you are not sure, contact the Belastingdienst for advice:
The number of previous applicants, as well as the period the position was vacant, must also be demonstrated.
The Belastingdienst will then get back to you with a decision. The processing period may take anywhere between one to six months, depending on the case.
If your application is denied, you should file a letter of objection within six weeks. If your letter is also denied, you must file an appeal.
If you only recently discovered that you meet all the conditions, it’s still possible to apply for the 30% ruling. Whether you are eligible for any back-payments depends on when you apply.
If you submit the application within four months of starting your employment, the ruling will be retroactively effective to also cover those first four months. If you submit the application after four months of starting your qualifying job, the ruling is effective on the first day of the month after the month in which your application was successful.
It’s still possible to apply years after having worked or lived in the Netherlands.
If your employment with the 30% ruling is terminated, it’s possible to apply for a continuation of the ruling if you find a new job that meets the requirements within three months of the termination of your previous job.
Keep in mind that you will need to apply again for the 30% ruling within four months of taking up your new job. Your new employer must again provide a written statement saying that you provide scarce skills or expertise.
Expats currently working for an employer under the 30% ruling can continue to make use of the ruling if they decide to start up their own business in the Netherlands.
It’s worth noting that the reduction of your gross salary by 30% has severe implications for your disability benefit or unemployment benefit, tax refund (residential mortgage loan), pension and so on, which are heavily or even solely based on your taxable salary.