Bill for counter-evidence scheme in box 3 submitted

With the counter-evidence scheme, you can demonstrate your actual returns in Box 3. If your actual returns are lower than your statutory calculated returns, you will pay less income tax. With the counter-evidence scheme, the cabinet offers additional legal redress in Box 3, in accordance with the Supreme Court's rulings.

Form Actual Returns Statement 

It is intended that from mid-summer 2025, you can demonstrate your actual returns via the Actual Returns Statement form. For the years 2017 to 2020, the counter-evidence scheme only applies to objectors whose income tax assessment was not irrevocably established on December 24, 2021. For the years 2021 and later, the counter-evidence scheme is open to everyone.

Determining Your Actual Returns

In the bill, the cabinet follows the rules set by the Supreme Court to determine your actual returns. Actual returns consist of regular benefits from your assets (such as interest, dividends, and rent) and the value changes of your assets. This includes both realized and unrealized value changes and both positive and negative value changes. For properties, a value change is determined based on the WOZ value. Costs are non-deductible, except for the interest on your debts. It will not be possible to offset losses with other years.

Personal Use of Real Estate

The personal use of real estate, such as a second home, is part of the returns taxed in Box 3. This benefit consists of the economic rental value of the real estate. For the years 2017 to 2025, however, personal use of real estate does not need to be reported when calculating your actual returns. From 2026, personal use will be part of the actual returns.