Which documents must be provided to the tax authorities for the 80% rule?
2 min read
This article applies to second-pillar pensions taken out by companies or employers. So both for IPT (an individual pension commitment funded by your company) for the self-employed and for group insurance for salaried employees. The 80% rule determines how much supplementary pension you can build up in a tax-friendly way through your company, or through your employer. Compliance with this rule is checked, among other things, by the assessment service on the basis of standardised supporting documents that are provided by the pension institution to the employer and subsequently from the employer to the assessment service.
Which supporting documents?
- Tax certificate: This certificate is issued by the group insurer or the pension fund and confirms that the pension plan complies with the 80% limit. The certificate also contains information about the pension scheme, such as the staff category involved, the transferability and the indexation of the pension annuity. This tax certificate is, however, not a calculation of the 80% rule; in the event of a possible audit, in particular if it concerns an IPT, it is not the certificate but the calculation that is decisive. - Information sheet: You receive this sheet at the start of the plan. Reference is often made to “Circular NR Ci. RH. 243/376.395 of 4 February 1987”. The employer/company further completes this sheet for the group insurance, the pension fund and the private individual pension commitments. The sheet contains information about the pension schemes, such as the premiums, the beneficiaries and the payout conditions.
When and to whom must you send the supporting documents?
You provide these certificates to the assessment service on which the company depends.
- Tax certificate: - Upon taking out the contract - Upon every modification of the contract - Each time the 80% limit is exceeded - Information sheet: only upon taking out the contract
In any case: keep these supporting documents carefully. You may need them in a later audit by the assessment service. Life Experts in principle also keeps a duplicate of these certificates. In the event of a possible audit, you can also call on us to still provide these. Note that in a tax audit, in addition to these certificates (which are rather administrative in nature), a detail of the calculation of the 80% rule for the relevant audit year will also be requested. If these calculations can be carried out correctly by us, we will provide you with this calculation in connection with an audit.
PS: note that it may be worthwhile to take out an insurance for tax legal assistance
Questions about your own situation?
This article is general information. Your adviser will look at what it means for you.