The case (June 6, 2023, ECLI:NL:RBDHA:2023:8461) proceeds as follows. In 2007, an individual transferred his severance pay to Stamrecht BV. In February 2017, he moved to the US and has been annuity from his Dutch BV since that moment. In 2017 he received €1,672,248 from BV and €1,463,217 in 2018.

He believed that the tax on these benefits had been allocated to the United States and did not report the amount as taxable income on his income tax return in the Netherlands. According to him, the benefits come under the pension clause of the agreement. The inspector disagrees and includes both amounts in the 2017 and 2018 assessments. In addition, he collects tax interest of €99,455 and €56,705 respectively.

In the court’s hearing, the man argues that a portion of the 52% annual benefits can be considered in the sense of ‘pension and other similar rewards’. Art. 19(1) of the Agreement. He based this on the fact that 52% (€ 1,420,641) of the total value of the severance payment (€ 2,730,153) would act as a bridge to his retirement. To prove this, he cites notes from when severance pay was negotiated with his then employer.

The court considered that the evidence submitted by the person did not make it sufficiently convincing that the compensation helped provide a bridge to (partial) pension. According to the court, this also indicated that the person had fifteen years of service remaining at the time of his departure, and that the entire severance pay was paid in the form of entitlements in two years. No bridge. The court verdict is in favor of the inspector.

Emphasis on training

Generally, the benefits of the golden handshake entitlement are not covered by the pension clause, but rather by the non-self-employment contract clause. It will be here
Art. 16 Agreement. Pension Essay Article 19 paragraph 1 of the Agreement. The same applies if severance pay has been paid to enhance adequate pension rights.

Source: Legal and tax national Nederlanden

272