Netherlands

Value Added Tax

  • Payment extension for VAT if a taxpayer demonstrates in writing that the liquidity issues are caused by the COVID 19 crisis. The extension will be granted upon receipt of the request and any collection measures will be ceased. An individual assessment will take place retroactively, but no penalties will be imposed.

Corporate Income Tax

  • Payment extension for CIT (along the lines set out for VAT).
  • If a taxpayer already made advance tax payments on earlier provisional tax assessments (based on estimated taxable profits), a request can be submitted to reduce the provisional tax assessment if a lower profit is expected as a consequence of the COVID 19 crises. As a rule, the tax authorities will approve such request, which may also result in refunds.

Social Security Contributions or Payroll Tax

  • Payment extension for wage tax if a taxpayer demonstrates in writing that the liquidity issues are caused by the COVID 19  crisis. The extension will be granted upon receipt of the request and any collection measures will be ceased. An individual assessment will take place retroactively, but no penalties will be imposed.

Other relief measures

  • Administrative penalties for late payment of taxes are not going to be issued or are going to be reversed.
  • Interest on overdue tax (owed when a tax assessment is not paid in time) will be reduced from 4% to 0.01% as of 23 March 2020. This measure relates to all state taxes.
  • Interest on tax (owed when a tax assessment is not determined in time due to e.g. a late tax return) will be reduced from 4% or 8% to 0.01% as of 1 June 2020 (for personal income tax as of 1 July 2020).

Additional comments

  • Similar measures are available with respect to Dutch personal income tax.