In case the company also registers for payroll tax, there will not be any consequences for them, other than the obligation to withhold payroll tax on the employees’ salary and to pay the payroll tax and employers’ contributions to the tax office in time. For the employee however, it will make a difference, since instead of having to pay his tax obligation in a lump sum, it will then be taken out of his salary on a monthly basis.

The registration of the company, as well as running a Dutch payroll, can be outsourced to Broadstreet. By outsourcing the payroll, the employee will receive a salary slip on a monthly basis and the employer will be informed how much net salary the employee is entitled to and how much payroll tax and contributions have to be paid and before when.