The Dutch government announced the following six additional tax measures to create financial space in the short term.
- Reduction of the customary (‘minimum’) wage in case of a decline in turnover. The customary wage may be reduced in equal proportion to the decrease in turnover of the company.
- Relaxation of the hours criterion: In the period between 1 March 2020 and 31 May 2020 it is assumed the entrepreneur will meet the hours criterion.
- Work-related expenses scheme: The discretionary margin is increased once to 3% of the first €400.000.
- Fiscal ‘corona reserve’ in corporate income tax: The expected loss for 2020 related to the corona crisis can be charged to the 2019 taxable profit as a corona reserve. By using the corona reserve, a refund can be requested of previously paid and/or payable corporate income tax for 2019. This can be done by requesting a further provisional corporate income tax assessment for 2019.
- Postponement of the date of entry of the legislative proposal ‘Wet excessief lenen bij eigen vennootschap’ until 1 Januari 2023.
- Break in payments for mortgage obligations. The repayment arrears can be spread over the remaining maturity. Besides, it is optional to split the remaining loan.
When more information is available about the measures, we will notify this on this webpage.