Capital gains tax reforms ready by Budget Day: Dijsselbloem

During his visit to Washington, Finance minister Jeroen Dijsselbloem promised to address and reform the capital gains tax before the Budget Day, De Telegraaf reported on Monday. “The tax load went up drastically in later years due to the crisis”, Dijsselbloem is quoted saying. “The coalition is unanimous that there should be tax cuts.” For many taxpayers, the interest rate for capital gains is actually lower than the tax rate. “[Current taxation rules] assume a return of a healthy four percent. But ordinary depositors do not get that rate. We are looking for a way to make the tax more equitable”, Dijsselbloem added. The debate on the issue was also spurred by the asymmetry of the situation. While investors benefit from the current level of interest rates, savers not only suffer from low returns, but are also heavily taxed on their income, writes FD.