What does the Regulation for Counter-Evidence in Box 3 mean for Dutch Investment Fund Investors?

Introduction to the counter-evidence scheme in box 3

The counter-evidence scheme in box 3 is a much-discussed topic. In March, the government sent the bill for this scheme to the Lower House. But what exactly does it entail? The scheme is intended to provide legal redress if the actual return achieved in box 3 is lower than the fictitious return. The bill describes how this should work. The First and Second Chambers will discuss the proposal before the summer.

Investments are made through investment funds. These can be funds that only invest in shares or bonds, but also combinations of these, the so-called mixed funds. The investments in these funds fall under your box 3 assets. We explain what this arrangement means for you.

Fictitious return on investments

The basic principle is that your assets in box 3 are taxed on the basis of a fictitious return. In 2025, the fictitious return for investments in shares and bonds, such as in investment funds, is 5,88% of the value on 1 January 2025. Part of your box 3 assets are exempt from tax. This tax-free capital amounts to €2025 for 57.684, or €115.368 if you have a fiscal partner.

Actual return on investments

With the counter-evidence scheme, you may use the actual return in box 3 if this is lower than the fictitious return. You must be able to prove this in your tax return. If you choose to calculate your box 3 tax based on the actual return, you may not take the tax-free capital into account.

What is considered actual return?

The bill states that your actual return consists of direct returns and capital growth. It does not matter whether the changes in value have already been realized.

Your direct income consists of distributed dividends and interest. Accumulating funds generally do not distribute dividends and interest. In that case, these are in the course processed. You do not have to include dividends and interest separately in your tax return. You do have to do this for distributing funds.

Your capital growth is the difference in value of your funds between January 1 and December 31. You offset deposits (such as purchases) and withdrawals (such as sales).

When determining your actual return, you may not deduct any costs, such as management costs. Only the interest on box 3 debts is deductible.

In this calculation example, a box 3 levy based on fictitious return is more attractive than based on actual return. This is mainly due to the increase in value of the funds, the fact that the costs are not deductible and because there is no right to apply the tax-free capital. It is important to know that the actual return can never lead to a negative income. Please note that every situation is different. That is why it is wise to discuss this with your tax or financial advisor.

What are the next steps and what should I do?

The next step is that the House of Representatives and the Senate must approve the bill. They will discuss the proposal before the summer of 2025. Until then, you do not have to report an actual return. As soon as this is necessary, the Tax Authorities will send you a letter about this. This will probably be possible from the summer of 2025.

Frequently Asked Questions

What is the counter-evidence scheme in box 3?
The counter-evidence scheme in box 3 is a scheme that provides legal redress if the actual return achieved is lower than the fictitious return in box 3.

What is the difference between fictitious and actual returns?
The fictitious return is a fixed percentage of your assets in box 3 that is taxed. The actual return is the return that you have actually achieved on your investments.

Do I need to do anything regarding this arrangement?
At the moment you do not need to take any action. The House of Representatives and the Senate still need to approve the bill. Only when that has happened, and your actual return is lower than your fictitious return, can you take action. The Tax Authorities will inform you about this.