The judge set out this (general) rule in a case in which an heir had transferred the deceased’s bank accounts into his own name.
Box 3
Income from savings and investments is taxed under Box 3. Income is determined on a flat-rate basis in Box 3. The basis for this calculation includes, amongst other things, cash – both in hand (in excess of €552 per partner) and held in a bank account.
Zeeland-West Brabant District Court rules that the money in a bank account belongs to the person in whose name the bank account is held. After all, that person has access to the money and therefore pays income tax under box 3 on the balance of the bank account (in this case, this involved a total of over €600,000 in additional income under box 3).
Counter evidence
The person in whose name a bank account is held may demonstrate that the money does not form part of their assets. If they succeed in doing so, they will not be liable for income tax under Box 3. However, the District Court was not convinced of this in the case referred to above.
The heir claims that he is merely the administrator of the bank accounts by virtue of his role as executor of his father’s will. However, the estate has long since been settled, meaning he is no longer the executor. The bank accounts have been attributed to his mother. The heirs have obtained a claim for overcompensation against her. It appears that the court assumes that this claim has been settled by the bank accounts being transferred into her name.