Bitcoin holders in Netherlands could face tax on unrealized gains from 2028

The Netherlands has moved closer to taxing unrealized cryptocurrency gains from 2028 as part of an overhaul of its Box 3 system, although a new government proposal could eventually move crypto to taxation at the point of sale.

• The Netherlands is preparing a new Box 3 system from 2028 that would tax actual investment returns, including changes in the value of crypto assets.
• Bitcoin and other crypto holdings could be taxed on annual price gains even without a sale, while losses could be carried forward against future gains.
• The House has approved the Box 3 bill, but Senate consideration and a newer government proposal to expand realized gains taxation could still change how the system works.

According to the Dutch government, the proposed Actual Return Box 3 Act would replace the current system with one based on income and changes in the value of assets, with the new framework scheduled to begin on Jan. 1, 2028.

The House of Representatives approved the bill on Feb. 12, sending it to the Senate for consideration. The legislation has already been debated in the upper chamber, but a final vote has yet to take place.

Cryptocurrencies such as Bitcoin generally fall under Box 3, which covers savings and investment assets held by Dutch taxpayers. Parliamentary documents have explicitly identified cryptocurrencies as Box 3 assets and said taxpayers are required to declare them.

Under the bill approved by the House, most assets would be subject to a capital growth tax, known in Dutch as a vermogensaanwasbelasting. The system takes both income generated by an asset and changes in its value into account when determining the taxpayer's actual return.

For crypto holders, this means a rise in the value of Bitcoin or another digital asset could generate a tax liability even when the investor has not sold the tokens.

Crypto gains would be taxed without a sale

The original Box 3 proposal uses the value of assets at different points in the tax year to calculate changes in wealth. Dutch parliamentary material explaining the proposed system states that cryptocurrencies would fall under the capital growth approach, with their value development included in the calculation of actual returns.

An investor holding Bitcoin through the entire year could therefore face tax on its price appreciation without converting the asset into euros.

Losses receive corresponding treatment under the proposed framework. The Dutch government says decreases in asset values can be offset against gains in later years, allowing negative returns to be carried forward.

Interest, dividends and other direct income from assets would form another part of the calculation, while certain expenses connected with generating investment income could be deducted.

Real estate and shares in qualifying startups and scale ups are treated differently in the legislation. Their changes in value would generally be taxed when a gain or loss is realized, such as when the property or shares are sold. The government said this approach avoids collecting tax before the taxpayer has received money from disposing of an illiquid asset.

Crypto was not included in that exception under the bill passed by the House.

The distinction could be particularly relevant for digital assets because cryptocurrency prices can move considerably within a single year. During parliamentary discussions, Dutch officials acknowledged that someone invested only in crypto could record a large return in one year and a substantial loss in another.

Netherlands is reconsidering how Box 3 gains are taxed

The legislation moving through parliament is no longer the only proposal shaping the future of Box 3.

In a Sept. 29 letter to parliament, Prime Minister Rob Jetten, Finance Minister Eelco Heinen and State Secretary for Finance Eugène Eerenberg proposed expanding capital gains taxation to financial instruments from 2028.

The proposed change would mean assets covered by that category would generally be taxed on their gains when those gains are realized instead of being taxed each year on appreciation that remains on paper.

Direct cryptocurrency holdings do not generally fall within the same legal category as conventional financial instruments such as shares, bonds and options. Under the current direction of the plan, crypto would therefore remain exposed to the capital growth method during the first stage of the new Box 3 system.

The government plans to move the remaining Box 3 assets toward a capital gains system later, which would eventually replace taxation of annual unrealized value changes with taxation when gains are realized.

For crypto investors, the distinction means the 2028 rules are not yet the final form of the Dutch government's long term tax framework. Changes still require legislation and parliamentary approval, while the existing Actual Return Box 3 Act remains before the Senate.

The Senate's official legislative record shows the House passed the underlying bill in February after it was first submitted in May 2025. The upper chamber held a plenary debate on June 30, while lawmakers have continued examining proposed changes to the framework.

A motion that would have indicated no objection to withdrawing the legislation was rejected by the Senate on July 7.

Crypto tax reporting is expanding across the EU

Changes to the way gains are calculated are arriving as tax authorities gain more information about cryptocurrency transactions.

The European Union's DAC8 rules began applying from Jan. 1, 2026, requiring crypto asset service providers to collect tax identification and transaction information from customers. As crypto.news previously reported, the reporting framework covers crypto to fiat trades, crypto to crypto transactions and transfers to external addresses.

Dutch parliamentary documents say crypto information collected under DAC8 will become available to the country's tax authority and can be used to check information provided in tax returns.

Reporting rules and the method used to calculate tax remain separate parts of the system. DAC8 deals with the collection and exchange of information, while Box 3 determines how income and changes in asset values are taxed in the Netherlands.

Similar reporting measures are already being tested elsewhere in Europe. France's Council of State recently rejected an emergency challenge seeking to suspend the country's decree implementing DAC8 while a separate case seeking its annulment remains pending.

Germany, meanwhile, has been considering its own changes to cryptocurrency taxation. A Finance Ministry proposal would apply a 25% tax to crypto gains from 2028 and potentially end the existing exemption for assets held for more than one year.

Greece has taken another route, with officials preparing a 15% crypto gains tax that would formally bring digital assets into the country's tax code.

Box 3 overhaul follows years of legal disputes

The Netherlands' Box 3 overhaul follows years of court rulings and disputes over the country's use of assumed investment returns.

Under the existing system, Box 3 has generally relied on fixed or notional returns instead of simply taxing the return each taxpayer actually earned. The Dutch Tax Administration says the transitional rules remain in use for provisional 2026 assessments, although taxpayers can have their Box 3 income adjusted when their actual return is lower than the notional return.

The proposed Actual Return Box 3 Act is intended to replace that structure with taxation based on actual income and asset performance.

Government documents describe actual returns as the combination of income received from assets and their positive or negative value development, after applicable debts and deductible costs are taken into account.

The government has continued examining changes to the bill while keeping 2028 as the intended starting point. Its official Box 3 timeline says the current legislation remains the basis for the new system while policymakers work on adjustments and study a capital gains model.

For the existing proposal, the Senate remains the next legislative hurdle. Its parliamentary record lists the Actual Return Box 3 Act as still under consideration, leaving the rules that would apply to Bitcoin and other crypto holdings subject to further changes before the planned 2028 start.