Preview Chapter Seven:

Most students earning money through a job or business fall into Box 1, which includes:

• Salaries from part-time jobs or internships
• Freelancing income (as a self-employed student)
• Profits from running a small business

This section breaks down:

• How much income tax you have to pay as a student
• When you're eligible for tax deductions and refunds
• How to file your annual income tax return (belastingaangifte)

If you own at least 5% of shares in a company, your income falls under Box 2 taxation. While this is less common for students, this section covers:

• What qualifies as substantial business ownership
• How dividends and profits from your company are taxed
• Whether it makes sense to start a business under Box 2 as a student

Even if you’re just starting with investing or saving money, you might have to deal with Box 3 taxes. This includes:

• Interest earned on savings accounts
• Dividends from stocks and ETFs
• Capital gains from selling investments

This section explains:

• How much tax-free savings and investments you’re allowed
• The wealth tax threshold and whether it applies to students
• Strategies to legally reduce your taxable investment income

By understanding how the Three Income Tax Boxes work, you can avoid unnecessary taxes, claim possible deductions, and keep more of your hard-earned money.