Knowledge Base


Welcome to the Expatax Knowledge Base containing hundreds of answers to questions we received about topics concerning tax, payroll, accounting, legal, business etc. related to the Netherlands. Search in our Knowledge Base or browse the different categories. Expatax is a Dutch tax and accounting firm specialized in assisting international workers, freelancers and companies. Don't hesitate to contact us if you need assistance or check our website.


Filing NL tax return while living in Qatar and entitled to future Dutch pension


Question:


I am a UK citizen who worked in the UK from 2002-2005. I notified Inland Revenue of leaving UK in 2005. I moved to NL in 2005 working for Shell under the 30% tax rule. Shell completed all my tax returns through Deloitte. I bought a property in NL (The Hague) in 2006, sold for a slight loss in Feb 2012. I moved to Qatar in 2009 and Shell filed my last tax return in 2010. I have not filed anything since.

My concern is around pension – I am on the Shell Dutch final salary pension, which is maintained in NL.

Questions I would like to discuss with a tax advisor:

- Do I need to re-start filing an NL tax return
- Is it useful to file a return to ‘stay in the system’ given my Dutch pension

Answer:

There is no need to file a tax return in the Netherlands.

Once the pension starts paying out it is important to determine whether the pension is taxed in the Netherlands or in the country where you are living at that time. Relevant is whether there is a tax treaty between the Netherlands and the other country or not.

In the mean time nothing needs to be done, other than keeping the Shell pension informed about your actual address, so that they can always contact you.

Reply:

Thanks for your very quick response. I was referred by a colleague to your company so it’s good to know there is a professional tax consultancy around when I return to NL at some point.

One more question regarding minimum allowances. I still have an ABN bank account with minimal funds and (almost zero) interest. I also purchase company shares on a monthly basis and sometimes get performance shares on a yearly basis. These generate a dividend (paid in new shares) on a quarterly basis. This is all relatively small amounts and there is already a ‘tax deducted’ on the voucher (example attached).

I assume I have to pay tax in NL if I sell any shares and then only if it exceeds my tax free allowance?

Answer:

There is no capital gains tax in the Netherlands in case of "normal investment" so if you sell the shares the profit remains tax free. We only have dividend tax at source in your situation.

The shares itself and the bank account don’t have to be declared in NL since you are a non-resident and will report the shares and account already in your foreign tax return (if required).


Attached Files
There are no attachments for this article.
Comments
There are no comments for this article. Be the first to post a comment.
Name
Email
Security Code Security Code
Related Articles RSS Feed
My child is earning an income. How will it be taxed?
Viewed 3019 times since Sun, Apr 1, 2012
My partner has no income, is she entitled to a refund or tax credit?
Viewed 31801 times since Tue, Dec 13, 2011
Where should I file a tax return if I pay tax in Holland but social security in Portugal?
Viewed 16664 times since Thu, May 30, 2013
How to declare foreign joint accounts in the Dutch tax return?
Viewed 7195 times since Tue, Apr 16, 2013
What are the tax rates in the Netherlands?
Viewed 14325 times since Fri, Nov 4, 2011
Should the kinderbijslag be reported in my tax return?
Viewed 3072 times since Thu, Apr 11, 2013
Who can be fiscal partners?
Viewed 15986 times since Fri, Nov 4, 2011
Can some tax company deceive me about my tax return? Can they change my bank details
Viewed 14609 times since Mon, Feb 25, 2013
What is an M form?
Viewed 13245 times since Thu, Nov 3, 2011
Tax return
Viewed 2649 times since Thu, Dec 6, 2012