C-form Dutch income tax return

When do you file a C-form?

If you lived outside of the Netherlands (non-resident) for the whole year but had Dutch income two situations legally oblige you to file a so-called
C-form. You are either, invited by the Dutch Tax Authorities to file an income tax return. A rather euphemistic phrasing for a letter ordering you to file a C-form before a specific deadline. Or you have reasonable knowledge of the fact that you might owe the Netherlands tax. A third scenario is also possible. You expect to receive a tax refund upon filing a C-form.

Where do you live?

Non-residency is a vital criterium for determining the need to file a C-form. Where you actually live is determined by facts and circumstances. According to Dutch law where you live is where the center of your social activities is. This means where you receive your mail, where your kids go to school, where you engage in social activities, where you have your newspaper delivered, where you're insured for healthcare, where your partner lives, etc. Your nationality or where you're registered with the municipality comes into play but is definitely not a determining factor.

Did you have Dutch income?

The second criterium is if you had Dutch income. Income can come from a wide variety of sources. For example:

• Employment, pension, annuity, maintenance, etc.
• Dutch-based real estate
• Being a member of the board of directors or supervisory board of a Dutch legal entity
• Investments or assets
• Substantial shareholding in a Dutch cooperation

This list is far from exhaustive. Everyday practice can come up with surprising sources of income. So if you bought a home during your stay in the Netherlands and held on to it for a rainy day there's a likely chance that you need to register as a non-resident taxpayer and request a C-form.

Qualifying non-resident taxpayer

In some cases, it is possible to be considered a resident taxpayer for the whole year. Also for the period, you spent outside of the Netherlands. This means you're entitled to the same Dutch tax facilities as residential taxpayers. In order to qualify you need to live in an EU country, Liechtenstein, Norway, Iceland, Switzerland, or one of the BES islands. At least 90% of your worldwide income needs to be subject to Dutch income tax. And you need to send in an income statement from the tax authorities of your country of residence along with your C-form.

Deadline for filing a C-form

Normally the deadline is the 1st of July of the following year. (The deadline for 2021 is July 1st, 2022). It is possible to get an extension yourself. Or Easytax can arrange one for you. This extension is till May 1st, 2023 for the tax year 2022. This service is provided free of cost.

My C-form is filed, what's next?

By law, the Dutch Tax Authorities are obligated to send you a provisional tax assessment within a period of 3 months upon filing your C-form. In case you are a qualifying non-resident taxpayer acquiring an income statement can prolong this period.