New Corona measures for companies in The Netherlands

donderdag 19 maart 2020

On 17 March 2020 the Dutch government decided that it will quickly come with a new corona-plan, which is not yet fully available.

For what we know at the moment, the most important part of the new corona-plans are:

Temporary Wage Allowance

  • If the company’s turnover/income will decrease with at least 20% due to Corona, the Dutch Social Securities Authorities (UWV) will compensate personnel wages during 3 months by paying a subsidy;
  • The wage subsidy will not cover more than 90% of the wage (and takes into account the turnover decrease);
  • UWV will make advance payments of 80% of the requested wage subsidy;
  • No employment contracts may be terminated by the company during the subsidy term of 3 months (due to business reasons);
  • The government will open a website for the new scheme a.s.a.p.;
  • The compensation will take into account turnover decreases as of 1 March 2020.

More easy deferral of payment for tax assessments

  • When a company experiences payment difficulties because of the corona crisis, it will be able to request more easily a special deferral of payment (with the Dutch Tax Authorities) for all corporate tax, VAT, income tax and wage tax assessments.
  • There will be no default fines for paying taxes too late.
  • Evidence can be sent to the Tax Authorities in a later phase.
  • Recovery interest rates will be decreased to almost 0%.
  • Also tax interest rates will be decreased to almost 0%.

The above applies to all companies and entrepreneurs, including corporates and self-employed persons.

Pallas Attorneys-at-Law

Pallas Attorneys-at-Law advises on all corona employment related issues, and can answer questions regarding the interpretation or implementation the new government corona -plan.
With regard to other corona crisis regulations, Pallas Attorneys-at-Law can refer you to one of our specialized network partners.

If you have any questions, or if you need further information, please contact your lawyer with Pallas Attorneys-at-Law, or contact Alain Camonier on +31 20 470 93 64, or by e-mail: alain.camonier@pallas.nl