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A predoctoral researcher enquired whether a €3,000 training allowance under their FI contract qualifies for research grant tax exemption. The Directorate General for Taxes (DGT) has ruled that the exemption does not apply because the payments are received within the framework of an employment contract.
This ruling clarifies that training allowances paid under employment contracts are treated as employment income rather than tax-exempt research grants, affecting the net take-home pay for predoctoral researchers.
The tax team reviews your specific situation.
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