If you have 30% ruling, you are exempt from declaring any assets at all. If not, the tax form has a placeholder where you declare the value of all your liquid assets across the world and you pay 1.2% of that value as tax.

Thanks for this useful post! Since it has been quite a while since the original post and the rules might have changed, I have a few questions, which if you can help me with, will be very useful.

1. If I am working in the Netherlands and each month invest in a SIP in India with a NRE account, do I need to declare my investments in Dutch tax returns each year? If so, how exactly do you do that? I tried to get this answer from a tax consultant but wasn’t quite clear.
2. At any point in time if I decide to repatriate all earnings from investments in India to my ABN AMRO account, would I have to declare it in tax returns? Will it get taxed again in the Netherlands considering it was already taxed in India?
3. I have heard that in tax returns, we only need to declare our total income as of 1st Jan of that year including the amount invested worldwide. Can you help answer how this is done exactly?
If the returns on investment and the invested amount itself in Indian SIP does not matter to Dutch government, I would assume its better to have most of your income invested in India than to have no returns in a dutch bank account.

No tax payable on NRE interest.

No tax implication that I know.

Thanks for this wonderful blog! Would you also know if there are any tax implications if I transfer money from my India bank account to my NL bank account?

Thanks!

Hallo Madhu,

Okey, Thank you for your reply.

Cheers.

Hi Deepa, like I have mentioned this website is from my experiences. The input for this exemption is from one of the experts I contacted and also from the many websites that talk about it. For rule book I suppose you will need to go to a tax-expert.

Nice Initiative. I have a question on the below,

“If your savings is more than € 20,000 you need to pay ”Savings tax” @1.2% of the entire savings (goes into Box 3 in the tax filing form). However, if you have 30% ruling, this tax is not applicable making it effectively 0%”

How does the 30% can exempt from ”Savings tax” @1.2% ? Did you read in the rule book, if its so could you please mention the rule number or please share the link ? Thanks.

Regards
Gajanan