Economy

The Dutch Lower House of Parliament narrowly approved the Wet werkelijk rendement box 3 (Law on Actual Return in Box 3) on February 12, 2026, despite significant opposition and concerns about its implementation. The legislation, which aims to shift taxation of savings and investments from a system of presumed returns to one based on actual gains, will not take effect until January 1, 2028.

The vote, which passed with support from D’66, VVD, GroenLinks/PvdA, CDA, SP, Denk and Volt, followed years of legal challenges arguing the previous system unfairly taxed individuals during periods of low or negative market returns. The Dutch Supreme Court had previously agreed with these arguments, prompting the government to seek a more equitable approach. However, the latest law has sparked outrage among investors and drawn criticism from financial experts who question its practicality and potential consequences.

Under the current system, known as Box 3, individuals with substantial savings and investments are taxed on a presumed return, regardless of their actual investment performance. For 2026, this presumed return is set at 36% [1]. The new law intends to tax actual income from savings and investments, including interest, dividends, and capital gains. This includes previously untaxed elements like the increase in value of assets such as stocks and bonds [3].

A key point of contention is the complexity of calculating actual returns, particularly for diversified portfolios. Critics argue that the administrative burden on both taxpayers and the tax authorities will be substantial. “I wonder if the law will even survive,” said one unnamed financial advisor, reflecting the skepticism within the industry. The law also introduces three categories of assets – bank deposits, other investments, and debts – each with its own fictional yield for the transition period. In 2025, these yields are 1.44%, 5.88%, and 2.62% respectively, shifting to 1.28%, 6.00%, and 2.70% in 2026 [2].

The tax-free allowance within Box 3 will increase to €59,357 in 2026, double the amount available in 2025 (€57,684) [2]. This provides some relief, but many investors remain concerned about the potential for higher tax liabilities, especially as the system transitions to taxing actual gains.

Despite the passage of the law, concerns remain about its long-term viability. A provision has been included for an evaluation of the law after just three years, rather than the initially planned five [3]. This suggests a degree of uncertainty within the governing coalition regarding the law’s effectiveness and potential unintended consequences.

The government maintains that the new system will be fairer and more transparent. According to a statement released by the Ministry of Finance, the goal is to ensure that individuals pay taxes on their actual income from wealth, rather than on a presumed return [5]. However, the implementation details and the practical challenges of administering the new system remain a significant source of anxiety for investors and financial professionals alike.

As of February 19, 2026, the Belastingdienst (Dutch Tax and Customs Administration) has not issued detailed guidance on how taxpayers will be required to report their actual returns under the new law. The agency has indicated that further information will be provided closer to the implementation date in 2028 [1].

Amsterdam’s city council is set to enact a ban on fatbikes in designated busy areas, following a reversal by the PvdA and GroenLinks parties who initially expressed reservations. The decision, reported by NOS on Thursday, comes after weeks of debate over the increasing presence and perceived dangers of the larger-wheeled electric bicycles.

The initial proposal stemmed from concerns raised by D66, a coalition partner, regarding safety and congestion in popular public spaces. Opposition parties VVD, CDA, Volt, and JA21 had already signaled their support for the measure, according to NH Nieuws. The ban will be implemented through amendments to the city’s Algemene Plaatselijke Verordening (APV), with a vote scheduled later this week expected to be a formality given the now-substantial majority.

The city council has defined a fatbike as any bicycle with tires exceeding 7 centimeters in width. The shift in position by PvdA and GroenLinks followed earlier objections. GroenLinks had voiced concerns about potential stigmatization, while the PvdA questioned the legal basis for restricting bicycles based solely on tire size. Despite these initial hesitations, both parties ultimately agreed to support the ban, though GroenLinks council member Elisabeth IJmker emphasized that the decision only establishes the authority to implement the ban, not specific locations or timing.

Wethouder Melanie van der Horst (D66) expressed satisfaction with the broadened support and indicated that further discussions will focus on identifying the “busy areas” subject to the ban. She also plans to incorporate a proposal from GroenLinks allowing fatbike riders to walk their vehicles through certain restricted zones.

The move follows a similar ban implemented in Enschede last summer, making it the first Dutch municipality to restrict fatbikes in its city center.

The debate in Amsterdam has expanded to consider restrictions on all e-bikes, including electric bakfietsen (cargo bikes), as reported by Headliner.nl. During a recent city council meeting, PvdA council member Farley Asruf proposed a motion to ban all e-bikes in busy recreational areas, a step that sparked further discussion and disagreement among coalition partners.

Meanwhile, Amsterdam continues to be a hub for fatbike sales and culture. CLUB 204, a dedicated fatbike retailer in the city, offers a range of models from brands like PHATFOUR, BREKR, and STOER Bikes, according to its website. Fatbikeskopen.nl also advertises a selection of bakfietsen, including electric models, with promotional offers and financing options.