The European Commission is set to propose measures next week that will significantly increase the attractiveness of investing through private limited companies (BV). This move is expected to have a substantial negative impact on Dutch tax revenues generated from investments held in “box 3,” which covers savings and investments. Experts warn the proposals will fundamentally alter the current system of taxing capital gains in box 3. The changes could cost the Dutch treasury billions of euros annually. The proposals aim to incentivize corporate investment across the EU, but Dutch officials express concern over the potential loss of tax income. The forthcoming proposals are described as “very radical” and represent a major shift in approach to investment taxation. Further details of the Commission’s plan will be released next week.