Changes in the tax treaty with Switzerland from 2021 onwards

The tax treaty between the Netherlands and Switzerland has changed from January 2021.

Residence in the Netherlands – payment from Switzerland

If you are resident in the Netherlands and you have a pension, an annuity payment or a social security benefit from Switzerland, the benefits agency in Switzerland may withhold a maximum of 15% in tax on such payments. From 1 January 2021, you pay on the total amount of such benefit payments a maximum of 15% tax in Switzerland. In addition you pay tax in the Netherlands, but you do not pay tax twice on the same income.

Did you receive a lump-sum payment from a pension, an annuity payment or a social security benefit in Switzerland? In that case, you will have to pay tax on that lump-sum payment in Switzerland. It is possible that you will also have to pay tax in the Netherlands. In that case, we will take the tax you paid in Switzerland into account.

Residence in Switzerland – payment from the Netherlands

If you are resident in Switzerland and you have a pension, an annuity payment or a social security benefit from the Netherlands, the benefits agency in the Netherlands may withhold a maximum of 15% in tax. From 1 January 2021, you pay on the total amount of such benefit payments a maximum of 15% tax in the Netherlands. In addition you pay tax in Switzerland, but you do not pay tax twice on the same income.

Did you receive a lump-sum payment for a pension, an annuity payment or a social security benefit from the Netherlands? In that case, you will have to pay tax on this lump-sum payment in the Netherlands. It is possible that you will also have to pay tax in Switzerland. In that case, Switzerland will take the tax you paid in the Netherlands into account.

Do you have an exemption from the deduction of income tax and national insurance contributions deducted at source?

As of 1 January 2021, the exemption statements issued earlier for pensions, annuity payments and social security benefits from the Netherlands are no longer valid. The benefits agency must again withhold income tax and social insurance contributions from 1 January 2021 on a maximum of 15% of the total amount of your pension, your annuity payment or social security benefit.