Amsterdamse gracht

Real Estate Transfer Tax

In recent times, it hasn’t been easy to get your hands on real estate in the Netherlands, especially in Amsterdam. But anyone who manages to acquire real estate − in the form of houses, land or apartments −, or ‘limited rights’ to real estate, must pay a 2 or 6 percent of real estate transfer tax on the value of the real estate or right obtained. However, an acquisition, such as buying a house in the Netherlands, does not always have to go paired with the payment of this real estate transfer tax. There are cases where an exemption can be applied, such as those in which VAT is levied on the transaction or in which the acquisition is the consequences of a merger or internal reorganization.

Real estate tax in the Netherlands

In many of those cases, correctly structuring developments and transactions can help you avoid paying to much of this real estate transfer tax. But in most cases, it is clever to consult the Dutch Revenue in advance, with respect to certain transactions, in order to obtain certainty about whether the transaction will be tax-free or eligible for an exemption. This sometimes involves making choices by weighing the potential real estate transfer tax burden against the potential burden of other taxes, such as corporate income tax and VAT.

But as being said, not every case is eligible for the real estate transfer tax exemption. But here at TGS lime tree, we can help you to find out if you can exempt yourself from this transfer tax. Due to our years of experience, we know everything about the transfer tax in the Netherlands. So if you have any questions regarding real estate tax in the Netherlands, or the real estate transfer tax, feel free to contact our team of tax specialists. They can help you out with any questions regarding the subjects stated above.