(2023)
What is the most favourable rate test?
With the tax return, you can request that your income from capital assets be included in the assessment. This means that this income will be taxed at your personal, progressive tax rate rather than the withholding tax rate of 25 percent.
However, if this so-called favourable rate check shows that your personal tax rate is higher than the withholding tax rate, your request will be considered as not submitted. You will not have to pay more than the 25 percent capital gains tax.
Please note that the request can only be made uniformly for all capital income. All tax certificates must also be submitted to the tax office.
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