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The ‘conserverende aanslag’ or ‘protective assessment’ may apply to anyone who’s ever lived in the Netherlands, even for only a year – but what exactly is it, and what does it mean for you you?
What is a protective assessment?
A protective assessment is a tax assessment from the ‘Nederlandse belastingdienst’ (Dutch tax authorities), which specifically applies to people who have lived in the Netherlands for a given period of time. Upon emigration or return to your country of origin, you may subsequently benefit from a “preserved income” – if you’ve built up a pension or annuity in the Netherlands for example (please note: there are a number of additional scenarios where a preserved income may apply. For a complete overview, please refer to the Nederlandse Belastingdienst website). If you are eligible for a preserved income upon emigration or departure from the Netherlands, then you’ll receive your protective assessment after completing an M-form.
Must I pay the protective assessment immediately?
The main difference between a regular tax bill and a protective assessment is that the latter usually benefits from a deferred payment. If you’re emigrating or returning to a country within the European Union, then you’ll receive this deferral automatically and unconditionally. However, if you emigrate or return to a country outside of the EU, then the onus is on you to submit a written request for deferral.
In addition, a protective assessment is only valid for 10 years. If you do something within this period that doesn’t comply to Dutch tax rules, such as surrendering your pension entitlement, then you must pay the protective assessment immediately. If you do abide by the Dutch tax regulations for 10 years, then after this period you may apply for a tax liability waiver, and if approved, your protective assessment will subsequently be cancelled.
Prefer to read this article in Dutch? Then visit our sister blog, Heimwee.info, specifically intended for Dutch emigrants.