Tax laws regarding foreign real estate rent income.

Hi and welcome to the Forum.

Where you are taxed is decided by where you are deemed as being resident for the greater part of the tax year for the respective country; generally means if you spend more than 183 days resident in any one country, then they will assess you on your worldwide income.  It does get complicated when different countries tax-years don't run at the same time (i.e. the UK runs from Apr > Mar, the Netherlands runs from Jan > Dec), in those circumstances, both countries could stick their hands in your wallet.

There will almost certainly (check) be a double taxation agreement in place between (NL/D); these generally state which country will tax state benefits/pensions and that you won't be taxed twice on the same income.  These agreements only cover income taxes, not social taxes.  If you are currently paying 6% tax in Romania, then be prepared for that to increase by 3 times, maybe more and the tax agreement will not apply to this.

My advice is to employ a tax adviser in the country where you decide to live and get some advice on how to mitigate your tax liability.

Hope this helps.

Cynic
Expat Team

Hey Cynic,

Thanks for your response.

I did some research by myself and arrived at the same conclusion.

Calling the Tax Information Line for Non-resident Tax Issues or employing a tax adviser.

Thanks again!

Stephan.