On 27 September 2024, the State Secretary for Finance published an updated decision regarding the tax treatment of officials from international organisations and diplomats. This decision replaces the previous decision of 23 September 2004 and contains revised policy in response to recent court rulings.
Important changes concern the tax credits and the allowance for specific healthcare costs. In addition, the position on the influence of exempt income on expenditures for income provisions has been revised.
The decision emphasises that officials of international organisations often have the right to exemption from national taxation on their salaries, based on international agreements. These exemptions are intended to ensure the independence of these officials and to guarantee a uniform net income, regardless of their country of residence or nationality.
For more details about the specific changes and the full content of the decision, you can contact our office.