The Dutch government has backed away from a plan that would have taxed investors on Bitcoin gains they never actually cashed in.
In a letter dated September 29, 2026, Prime Minister Rob Jetten and Finance Minister Eelco Heinen proposed taxing investment gains only upon realization, starting in 2028. The earlier approach, a 36 percent tax on annual returns that would have swept in paper profits, is being abandoned.
The fight centers on Box 3, the part of the Dutch tax system that handles wealth, including liquid assets like Bitcoin. The government had been working on a reform called the Actual Return in Box 3 Act, which gained approval in February 2026. Its core idea was to apply a 36 percent tax to actual returns on liquid assets, and those returns would have included gains that existed only on paper.
Investor and business groups pushed back hard. Their concerns focused on liquidity and the risk of forced sales, especially in volatile markets like Bitcoin, where a taxpayer could owe tax on gains that evaporate before they ever sell. 
What changes for Bitcoin holders
Crypto assets currently sit under Box 3 and are taxed using a deemed return. For 2026, that deemed return is set at 6.00 percent, taxed at a rate of 36 percent. Under the new proposal, gains would only be taxed when actually realized, starting in 2028.
The Jetten and Heinen letter framed the shift around a tax system that supports investment without penalizing unrealized appreciation. Walking back the February 2026 approach after it had already gained approval signals that the backlash carried real weight.
There is a cost attached. The projected revenue impact of the reforms is estimated at 15 billion euros through 2035. That gap may be partially offset by lowering the tax-free threshold, which could pull smaller investors who currently fall below the line into Box 3 tax for the first time.
Implementation remains under parliamentary review, so the proposal still has to survive the legislative process. The 2028 start date also means the current deemed-return system remains the reference point for crypto through 2026, and discussions are expected to clarify whether crypto follows a different timeline than other financial instruments.
