{"id":1311,"date":"2023-01-20T08:55:04","date_gmt":"2023-01-20T07:55:04","guid":{"rendered":"https:\/\/vwg.nl\/uncategorized\/toch-belastingrente-over-teruggaaf-box-3\/"},"modified":"2026-03-03T10:34:26","modified_gmt":"2026-03-03T09:34:26","slug":"tax-interest-on-box-3-refunds-after-all","status":"publish","type":"post","link":"https:\/\/vwg.nl\/en\/toch-belastingrente-over-teruggaaf-box-3\/","title":{"rendered":"(Tax) interest on Box 3 refunds after all"},"content":{"rendered":"

Arnhem-Leeuwarden Court of Appeal<\/a> has ruled that the Tax and Customs Administration must pay interest on the refund of tax under Box 3. It is not yet known whether an appeal in cassation will be lodged against this ruling.<\/p>\n\n\n\n

Tax interest<\/h2>\n\n\n\n

Under Dutch law, no tax interest is refunded in cases where an income tax assessment is reduced following an objection or appeal. If the Tax and Customs Administration has charged tax interest in the assessment, that interest will, of course, be reduced proportionally.<\/p>\n\n\n\n

ECHR<\/h2>\n\n\n\n

The case before the Court concerns a taxpayer who lodged an objection to her income tax assessment for 2017. On the basis of this objection, the assessment following the Christmas judgment<\/a> was reduced to zero by the Supreme Court, but in accordance with Dutch law, the Tax and Customs Administration did not pay any interest on the refund.<\/p>\n\n\n\n

The Court agrees that the Tax and Customs Administration\u2019s conduct is in accordance with Dutch law. However, the Kerstar judgment is based on a provision of the European Convention on Human Rights (ECHR). And the European Court of Human Rights (ECHR) awards just satisfaction to the aggrieved party when it finds a violation of the ECHR. Part of this just satisfaction is interest, which is in line with national law.<\/p>\n\n\n\n

The Arnhem-Leeuwarden Court of Appeal therefore rules that the taxpayer is entitled to interest compensation in accordance with the rules of the Dutch tax interest scheme. Interest must be paid for the period commencing on the day following the date of payment of the tax and ending on the day preceding the refund by the Tax and Customs Administration. The taxpayer had paid the tax on 8 June 2018 and received the overpayment (\u20ac5,176) back on 22 July 2022. The Court calculates the interest as follows:<\/p>\n\n\n\n