Receiving gifts and inheritances from relatives living in Russia

Questions and Answers > Category: Taxation of IP > Receiving gifts and inheritance from relatives living in Russia

Svetlana 4 years ago

I have dual citizenship with my permanent residence in Holland.
My Russian relatives want to donate part of the family capital so that I can more effectively dispose of it in Holland. Am I entitled to pay tax on gifts in Russia? Or am I required to pay 5% to the Dutch tax system?
Where should we pay tax on receiving the "Russian" inheritance? In Russia? Or Holland?

3 response

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Nalog.nl Admin 4 years ago

Good afternoon Svetlana,
If the donor is not a citizen or resident of the Netherlands, the gift will not be taxed in the Netherlands. Based on the degree of kinship and other nuances, tax will be charged in Russia. The same rules apply to inheritance.

Best regards, Nalog.nl team

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Ildar 4 years ago

“If the donor is not a citizen or resident of the Netherlands...” - there (I could be wrong) there is also an addition like “... and has not been in the Netherlands for more than 12 months before the day of donation...”. Is this true or am I mistaken?

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Nalog.nl Admin 4 years ago

Good evening, Ildar! Let's take a closer look at this situation.
The answer to the question "Do I need to submit a declaration?" depends on a number of factors:
Donor Citizenship

If the donor is a citizen of the Netherlands, then the declaration must be submitted only if he moved from Holland to another country less than 10 years ago.
If the donor is not a Dutch citizen, then the return must be submitted only if he moved from Holland less than 1 year ago.

Has the giver ever lived in Holland?

If he has never lived here, then there is no need to file a declaration.

By the way, filing a tax return does not mean that you have to pay tax.
Sometimes a gift can be tax exempt, for example, if you intend to spend the donated money on your home. In this case, you also need to file a return to ask for such an exception.
Source: https://www.belastingdienst.nl/wps/wcm/connect/nl/schenken/content/ik-krijg-een-schenking-uit-het-buitenland-moet-ik-aangifte-schenkbelasting-doen
Regards, Nalog.nl Team