{"id":847,"date":"2019-10-31T19:18:53","date_gmt":"2019-10-31T18:18:53","guid":{"rendered":"https:\/\/vwg.nl\/uncategorized\/inkomsten-kinderen-niet-belast-bij-vader\/"},"modified":"2026-03-03T10:33:38","modified_gmt":"2026-03-03T09:33:38","slug":"childrens-income-is-not-taxed-in-the-fathers-name","status":"publish","type":"post","link":"https:\/\/vwg.nl\/en\/inkomsten-kinderen-niet-belast-bij-vader\/","title":{"rendered":"Children\u2019s income is not taxed in the father\u2019s name"},"content":{"rendered":"<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-7246\" src=\"https:\/\/vwg.nl\/wp-content\/uploads\/20191931_Inkomsten-toerekenen.jpg\" alt=\"\" width=\"1200\" height=\"628\" \/><\/p>\n<p>The Court of Appeal in Den Bosch has recently <a href=\"http:\/\/deeplink.rechtspraak.nl\/uitspraak?id=ECLI:NL:GHSHE:2019:2247\" target=\"_blank\" rel=\"noopener noreferrer\">case<\/a> There has been some debate as to whether children\u2019s income should be taxed under their father\u2019s tax return. How does the allocation of children\u2019s income work for the purposes of income tax?<\/p>\n<h4>Of legal age<\/h4>\n<p>The case naturally concerns children of full age. For tax purposes, these are children aged 18 or over. After all, with regard to minor children, the Income Tax Act 2001 stipulates that income received by minor children over whom they have parental authority is attributed to the parent(s). Where several parents have parental authority, the income is attributed to them in equal shares.<\/p>\n<p>The following income earned by minor children is attributed to the parents:<\/p>\n<ul>\n<li>other duties;<\/li>\n<li>own home;<\/li>\n<li>significant interest (Box 2);<\/li>\n<li>saving and investing (Box 3).<\/li>\n<\/ul>\n<p>Other income (such as income from part-time work) is taxed at the child\u2019s rate.<\/p>\n<h4>Fictitious transaction<\/h4>\n<p>The case heard by the Court of Appeal in Den Bosch concerns adult children who are the legal owners of a property. The father is responsible for managing this property. Under the terms of an agreement entered into with the children, he receives a fee of 6% of the rent for this.<\/p>\n<p>The Tax and Customs Administration sees grounds for attributing all income from the property to the father. However, the Court has put a stop to this. The tax inspector has not put forward any facts or circumstances on the basis of which it can be reasonably concluded that this is a sham transaction; that the father is, in fact, the beneficial owner of the property.<\/p>\n<h4>Wealth planning<\/h4>\n<p>In the context of wealth planning and transfer, it may be worthwhile to transfer property to one\u2019s children and\/or to enable them to acquire property (for example, by providing loans, whether or not combined with gifts).<\/p>\n<p><a href=\"https:\/\/vwg.nl\/en\/contact\/\" target=\"_blank\" rel=\"noopener noreferrer\">We<\/a> We\u2019d be happy to go through the pros and cons with you sometime.<\/p>","protected":false},"excerpt":{"rendered":"<p>Bij het Gerechtshof Den Bosch heeft recent een zaak gespeeld over de vraag of de inkomsten van kinderen moeten worden belast bij hun vader. Hoe werkt het toerekenen van inkomen van kinderen in de inkomstenbelasting? Meerderjarig De zaak betreft uiteraard meerderjarige kinderen. Fiscaal zijn dat de kinderen die 18 jaar of ouder zijn. Ten aanzien [&hellip;]<\/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-847","post","type-post","status-publish","format-standard","hentry","category-uncategorized"],"acf":[],"_links":{"self":[{"href":"https:\/\/vwg.nl\/en\/wp-json\/wp\/v2\/posts\/847","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=847"}],"version-history":[{"count":0,"href":"https:\/\/vwg.nl\/en\/wp-json\/wp\/v2\/posts\/847\/revisions"}],"wp:attachment":[{"href":"https:\/\/vwg.nl\/en\/wp-json\/wp\/v2\/media?parent=847"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/vwg.nl\/en\/wp-json\/wp\/v2\/categories?post=847"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/vwg.nl\/en\/wp-json\/wp\/v2\/tags?post=847"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}