It seems to have become something of a craze to challenge various regulations in the hope that the courts will rule them to be in breach of European law. One such regulation is the \u201cvilla tax\u201d.<\/p>\n\n\n\n
The popular term \u201cvilla tax\u201d refers to the notional value of owner-occupied property. If you are the owner or have beneficial ownership of a property and that property is your main residence, you must include an additional tax liability for the benefit derived from it in your income from work and property (Box 1). This additional tax amounts to 0.35% of the WOZ value of your property (if the WOZ value is less than \u20ac75,000, lower additional tax rates apply). This percentage applies up to a WOZ value of \u20ac1,310,000. For the portion of the WOZ value exceeding \u20ac1,310,000, you add 2.35%. This additional rate is known as the \u2018villa tax\u2019.<\/p>\n\n\n\n
Suppose your home has a WOZ value of \u20ac2,750,000 in 2024; in that case, you add \u20ac38,425 to your Box 1 income:<\/p>\n\n\n\n
The amount of tax due on this income depends on the other income in Box 1 and on the extent to which tax credits are utilised.<\/p>\n\n\n\n
If the property has been (partly) financed by a (mortgage) loan, the costs associated with that loan, as well as the interest due, are often tax-deductible. <\/p>\n\n\n\n
If there is no deductible interest and costs on debts, or if that deduction is lower than the owner-occupied home allowance, only part of the allowance is taxed. However, this deduction for low owner-occupied home debt (also known as the \u201cHillen deduction\u201d) is being phased out. In 2024, 80% of the difference between the owner-occupied property allowance and the deductible interest\/costs will remain outside the income base.<\/p>\n\n\n\n
Anyone wishing to benefit from a potential favourable court ruling must safeguard their rights by lodging a pro forma objection in good time against the final income tax assessment in which the \u2018villa tax\u2019 is included. \u2018In good time\u2019 means that the Tax and Customs Administration must have received the notice of objection within 6 weeks of the date of the tax assessment. No objection can be lodged against provisional tax assessments. Due to the issues surrounding Box 3, the Tax and Customs Administration has for some time now refrained from issuing final tax assessments to taxpayers who have declared income in Box 3.<\/p>\n\n\n\n
The likelihood of an appeal being successful is unpredictable. There are certainly (legal) arguments to suggest that the villa tax contravenes European regulations. But the question is how the court will view those arguments. It is clear that there will be no clarity on this matter in the short term.<\/p>\n\n\n\n
Naturally, the objection may initially be limited to an objection to preserve rights (pro forma), but it must be borne in mind that the Tax and Customs Administration may require the objection to be substantiated. At present, there are no known (test) proceedings that could be used as a precedent.<\/p>\n\n\n\n
<\/p>","protected":false},"excerpt":{"rendered":"
Het lijkt een hype te zijn geworden om tegen diverse regelingen bezwaar te maken in de hoop dat ze door de rechter in strijd worden geacht met het Europese recht. E\u00e9n van die regelingen is de “villataks”. Villataks Met de populaire term villataks wordt gedoeld op het eigen woningforfait. Als je eigenaar of zakelijk gerechtigde […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1],"tags":[],"class_list":["post-1516","post","type-post","status-publish","format-standard","hentry","category-uncategorized"],"acf":[],"_links":{"self":[{"href":"https:\/\/vwg.nl\/en\/wp-json\/wp\/v2\/posts\/1516","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/vwg.nl\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/vwg.nl\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/vwg.nl\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/vwg.nl\/en\/wp-json\/wp\/v2\/comments?post=1516"}],"version-history":[{"count":0,"href":"https:\/\/vwg.nl\/en\/wp-json\/wp\/v2\/posts\/1516\/revisions"}],"wp:attachment":[{"href":"https:\/\/vwg.nl\/en\/wp-json\/wp\/v2\/media?parent=1516"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/vwg.nl\/en\/wp-json\/wp\/v2\/categories?post=1516"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/vwg.nl\/en\/wp-json\/wp\/v2\/tags?post=1516"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}