Tax Implications of Entrepreneurial Deduction in Director-Major Shareholder (DGA) Divorce
In the event of a divorce involving a Director-Major Shareholder (DGA), the division of business assets impacts the tax position. The Old-Age Reserve (FOR) and the average salary scheme under self-administration are affected by equalization. The payout of the FOR results in a Box 1 tax levy of up to 52%, unless spread through bank savings.
The customary wage regulation (Article 12a of the Income Tax Act) requires the former DGA to receive a minimum salary of €51,000, which changes upon division. In the case of share transfers, the realization principles of the Corporate Income Tax Act apply: cessation profit on latent reserves. Prenuptial agreements with a settlement clause trigger Box 3 taxation on notional returns.
Strategies: Splitting the BV into an operating company and a holding company minimizes taxation. The Excessive Borrowing Act limits debts owed to the DGA post-divorce. Pension compensation is exempt from wealth tax. Practical example: Converting the FOR to a bank savings account reduces the tax burden by 20%. Report changes promptly to the tax authorities to avoid additional assessments. Combine with estate planning for children.