Reduction of the period of applicability of the expat ruling (previously 30% ruling) due to previous stay in the Netherlands
Periods of previous stay in the Netherlands may lead to reduction of the maximum period of applicability if in any of the 25 years prior to start of the Dutch employment, the combined period(s) of previous stay exceeded:
- 20 days for professional/work purposes
- 6 weeks (or 42 days) for personal reasons
- a one time consecutive 3 month period for personal reasons
When the combined period of stay in any of the 25 years prior to the start of the Dutch employment exceeds the allowed amount of days/weeks, reduction applies for that year.
The maximum period of applicability is reduced with full months only, so in a year in which reduction applies, every period of stay is rounded up to full months.
If a period of stay starts in a previous year, the full period of stay is considered for reduction.
Examples:
- If you work physically in the Netherlands 2 days a month in a certain year, the 24 days of work lead to a reduction of the period of applicability of 12 months
- If you physically work in the Netherlands 40 days in a year, in the period from May 3 until June 26, the 40 days of previous stay lead to a reduction of 2 months
- If you were born in the Netherlands and left with your parents on the age of 12 and you return to the Netherlands 24 years and 8 months later, no stays in between, reduction applies to the year in which you left. The period of reduction is a period of 12 years that ended in the year that you left, which leads to a reduction of 12 years.
Feel free to contact us in case you have questions.