rulebook.
The 30% ruling, explained in plain English. The rules, the conditions, the recent changes, the exceptions.
What is the 30% ruling?
The 30% ruling is a Dutch tax benefit that lets qualifying employees receive up to 30% of their gross salary as a tax-free allowance for extraterritorial costs. In practice it can mean a meaningful increase in net pay for the first five years of employment in the Netherlands. Want to see if you qualify? Take the 30% Check.
Who qualifies?
You must be recruited from abroad (or transferred), have specific expertise that is scarce or absent on the Dutch labour market, and meet the salary threshold. You must also have lived more than 150 kilometres from the Dutch border for at least 16 of the 24 months before your first day of work in the Netherlands.
What are the 2026 salary thresholds?
Salary thresholds are indexed each year. For 2026, employees aged 30 and over must earn at least the standard threshold; employees under 30 with a recognised master's degree have a lower threshold. Always check the current Belastingdienst figures before relying on a specific number.
What changed in 2024?
The benefit is now capped at the WNT norm (the Balkenende standard), so very high earners no longer receive 30% on the full salary. The previous step-down structure (30% / 20% / 10% across years) was reversed in late 2024 and the flat 30% restored, but with the cap in place.
What changes in 2027?
From 1 January 2027, the headline rate is reduced from 30% to 27% for new rulings. Existing rulings granted under the prior rate generally keep their original terms for their remaining duration. If you are applying now, you should plan around the 27% number going forward.
What is the 150km rule?
You must have lived more than 150km from the Dutch border for at least 16 of the 24 months preceding your first day of work. This is the rule that disqualifies most residents of Belgium, parts of Germany, and parts of Luxembourg. There is one important exception.
What is the master's graduate exception?
People who obtained a Dutch master's degree before age 30 and start work within a reasonable period after graduation can qualify even though they were physically in the Netherlands during studies, provided they were recruited from abroad originally and met the 150km condition at the moment they came to the Netherlands. The "immediately after graduation" language has been interpreted by the courts; see the casebook for the most-cited rulings.
How long does the ruling last?
Five years from your start date, provided you keep meeting the conditions (including the salary threshold each year). Periods of previous Dutch residence in the prior 25 years are deducted.
How long does the Belastingdienst take to decide?
Typically 8 to 12 weeks from a complete application. Borderline cases that require extra review can take longer. Applying within four months of your start date keeps the decision retroactive to day one. If your situation is borderline, an Expert Check can flag risks before you file.
Where are the authoritative sources?
For the official rule text, see government.nl and business.gov.nl. For your own case, start with the 30% Check.