If you opt for resident taxpayer status (see Right of option for immigrants), you should declare your worldwide income in the Netherlands, including the revenue which the Netherlands is not allowed to tax under national and international regulations. Possibly, this revenue is also taxable in another country. To avoid a situation where you have to pay tax in both countries, you are entitled in the Netherlands to a credit, known as 'double tax relief', against the income tax owed. A condition in this respect is that the balance of your foreign revenue should be positive. This revenue therefore reduces the amount for which the double tax relief is granted. The Dutch Tax and Customs Administration determines the relief on the basis of your tax return.
The double tax relief is calculated per box. For more information about the calculation method per box, please refer to Double tax relief.
