Keep the Netherlands attractive for foreign talent with the 30%-ruling!

Again, the 30%-ruling is subject of discussion. Lack of money within the government is the reason to once again proceed to austerity measures or even abolishment of this regulation. Previously, the term was already shortened from 8 to 5 years. Many companies and research institutes (from universities) were already affected by this.

The scheme is offered by the Dutch government to International Talent coming to work in the Netherlands and to those who meet certain requirements in order to get this tax benefit. This tax benefit makes it possible to attract international talent and bind them to the Netherlands for a longer period of time.

As a small country with a limited labour force, the 30% ruling distinguishes the Netherlands from other countries and acts as a magnet for attracting scarce foreign talent. What if this talent does not come to The Netherlands? The Netherlands does not train enough talent.

Talent is what we need so that our economy can continue to grow. The Netherlands is competing with many other countries as the talent pool is becoming thinner. The consequences would be many times greater and more expensive. Is it really worth having this discussion purely on gut feelings, and do we keep shouting in a ‘Pennywise, Pound-foolish’ way that it is not fair?

That is why some 40 entrepreneurs, VNO-NCW, Techlab and numerous entrepreneurial organisations have called on the Lower House to leave the 30% ruling untouched. The so-called 30% ruling allows companies and, for example, universities, to pay a maximum of 30% of the salary to their foreign employees working temporarily in the Netherlands tax-free.

In these times of the ‘War on Talent’, let us not forget to look at the opportunities that Dutch companies offer for both talent and our economy.