March 20th, 2020
The Dutch government is preparing several reliefs for entrepreneurs who are affected by the virus.
Via this memo, we would like to inform you on the measures that are currently taken.
TEMPORARY MEASURE BRIDGING FOR WORK RETENTION
On the basis of this measure, employers can submit a request for compensation for the payroll expenses for their employees.
The compensation is linked to the level of loss of turnover, and amounts to maximal 90% of the payroll cost.
With this measure, the Government wishes to avoid dismissals. The employees will remain entitled to their full salary, paid by the employer.
In order to be eligible, a number of conditions have to be met:
– The employer will not request dismissal for the employees for at least the period the compensation is paid for;
– The employer expects at least a 20% loss of turnover, starting March 1.
The compensation can be requested for a period of 3 months and will potentially be extended.
TEMPORARY MEASURE INCOME SUPPORT ENTREPRENEURS
Sole proprietors and small companies can get income support for a maximum amount of EUR 1,500 net per month. Furthermore, they will have the possibility to receive a loan for business capital.
This measure will be valid for the period March 1 2020 till June 1 2020 and executed by the municipality.
COMPENSATION SCHEME ENTREPRENEURS
For entrepreneurs who have been affected immediately by the health measures taken by the government, a fixed compensation of EUR 4,000 will be granted.
This measure is meant for entrepreneurs active in catering, travel, events and the cultural sector.
Further terms and conditions regarding these measures will be announced shortly.
TAX PAYMENT DEFERRAL AND INTEREST MEASURES
For tax assessments already imposed, a (written) request for an extension of payment can be filed. The tax office will not impose a late payment penalty and the interest rate for the late payment will temporarily be reduced to 0,01% (currently 4% for income tax and 8% for corporate tax).
This extension will be granted for a period of 3 months. In case this is not long enough, a further extension can be requested, but in that case additional documentation to support this request may have to be presented to the tax office.
Besides the written request for extension, it will also still be possible to request for a 4 months’ extension by phone. However, this is only possible for tax assessments less than EUR 20,000.
For the provisional tax assessments 2020 it is possible to adjust the amount payable.