Long-term investment products (DIP) now more flexible
Since May 2025, the flexibility of long-term investment products (DIP) has increased. When changing a provider, the savings period from the previous product is now counted towards the savings period of the new product, which allows investors to maintain tax benefits and continue saving seamlessly.
The previous legislation did not allow the savings periods to be added up when transferring funds between DIP providers. In practice, this meant that when changing a provider, taxpayers lost their accumulated savings time and could thus lose their entitlement to tax benefits.
Now, if all accumulated funds are transferred from one DIP to another approved DIP provider, the savings period from the terminated product is counted towards the minimum period of the new one, which ensures that taxpayers do not lose their accumulated savings time when changing providers and can continue saving smoothly without jeopardising their entitlement to tax benefits.
The condition for accumulating the savings periods is that all funds must be transferred between approved DIP providers and the transfer must be properly documented. At the same time, the condition that funds from the DIP may not be withdrawn for a period of 120 months remains in place. Otherwise, the taxpayer will have to return the tax benefit provided.
The new rules shall also apply retroactively for 2024. Taxpayers who changed their DIP provider in 2024 and later will thus be able to retain the savings period from the previous product if they met the transfer conditions.
The change brings greater flexibility for the long-term investment product, as taxpayers are no longer tied to a single provider for the entire duration of the product and can thus respond better to market offers without losing their tax benefits.