Netherlands Scraps Unrealized Gains Tax, Adopts 36% Capital Gains Tax by 2028

The Netherlands abandoned plans to tax unrealized gains on shares, bonds and cryptocurrency on September 30, 2026, citing warnings of an investor exodus. Prime Minister Rob Jetten will instead introduce a conventional 36% capital gains tax on realized profits. The shift will cost the government €15 billion over eight years, which Jetten aims to recoup by cutting the tax-free allowance from €1,800 to €1,000. The new CGT applies to shares, bonds and second homes in 2028, with crypto and foreign currency gains following in 2030. The original plan drew global backlash, including criticism endorsed by Elon Musk, over fears investors would be forced to sell assets to cover taxes on paper profits. The Dutch Supreme Court struck down the prior system in 2021. Jetten lacks a parliamentary majority, and opposition parties have raised concerns about broadening the tax net to small investors.