Multinational companies are confronted with multiple domestic corona measures. Practical issues may arise due to the international nature of the company. Please find below an overview of various practical issues recognized by us. We informed the respective authority about these issues.
Identification obligation new employees
When you have been unable to establish the employee's identity or have not been able to identify it on time, or have not stored the records in the appropriate manner then you apply the anonymous rate when withholding payroll tax. This also applies when you know that you have received incorrect information from your employee, or if your employee does not have a valid residence or work permit. When you apply the anonymous rate you withhold wage tax/national insurance contributions at a rate of 52%. Under the corona circumstances, the Dutch tax authorities will not strictly enforce the identification obligation.
G account
Companies that post, hire out or second employees in or to the Netherlands and use g-accounts may under certain conditions request the Dutch tax authorities to unblock these accounts. In regular situations, only the ‘surplus’ on the g account can be released. In order to support companies that have been affected by the corona crisis, such as construction and the temporary employment sector, amounts that have been imposed as (additional) assessments withholding taxes or VAT can also be released temporarily. As a general condition, deferment of payment should have been granted for these assessments. The deferent of payment can be arranged online while the release of the g account has to be filed by letter. The request to arrange the release of the g account online as well is still pending.
NOW scheme
It is possible that the employer's account number that is linked to the payroll tax number is a foreign account number. Because the UWV is not able to process a subsidy application in which a foreign bank account number is specified, it is arranged that employers with a foreign account number can submit a Dutch account number within four weeks. The subsidy will then be paid into this Dutch account number. Practice shows it is nearly impossible to open a Dutch bank account within four weeks. We raised this question at the relevant institutions.
Tozo
Tozo will become available to self-employed persons who live in the Netherlands and whose business is located outside the Netherlands or who works independently (and vice versa; living outside Netherlands but with a company / profession in the Netherlands) to ensure that self-employed professionals who live in the Netherlands or who have established their company in the Netherlands, can be properly supported in line with the objective of the Tozo. Further details can be expected.
German support measure (Kurzarbeit Geld)
Only Germany based companies with German insured employees are eligible for the Kurzarbeit Geld. Dutch companies with German insured employees are unable to benefit from this measure. The German authorities have been notified about this issue. A solution is still pending.
