Dutch Tax

[Paul Bond]

I recently read that the Dutch authorities have revamped their system and that this could mean that ‘foreigners’ working offshore in the Dutch sector may be liable to Dutch social security contributions.
Has this happened? Has anyone noticed any difference to previous pay out there? etc etc
What happens if you work as a limited company – any relevant info is appreciated.
Thanks

[Steve White]

I recently read that the Dutch authorities have revamped their system and that this could mean that ‘foreigners’ working offshore in the Dutch sector may be liable to Dutch social security contributions.
Has this happened? Has anyone noticed any difference to previous pay out there? etc etc
What happens if you work as a limited company – any relevant info is appreciated.
Thanks

I deal with Dutch tax returns on a regular basis and I am not aware that the rules have changed. I have just spoken to the Dutch Tax office and they are not telling me that any changes have been made ans they would not be comment on a proposals. It would be unusual as there are EU agreements on Social Security much like double-tax treaties. I note your use of the word ‘could’ and wonder if this is just someone’s opinion or a proposal rather than a fact. I would be interested to know where this came from as I would certainly follow it up.

[Paul Bond]

There was mention of it on this site before – apparently there was an article in the Press & Journal.

[James McLauchlan]

I did read somewhere that the Dutch were implementing compulsory National insurance comtributions for all those working in Ducth waters. It was no small amount being touted at the time but I can’t find reference to specific information at present.

I think it may be relatd to this:

Ministry of Social Affairs and Employment
IRO regularly meets with the Ministry of Social Affairs and Employment on issues related to labour like: the change of the social security status of the Dutch Continental Shelf; regular and irregular working times and working permits for marin/offshore personnel. http://www.szw.nl

– Change social security status Netherlands Continental Shelf
The Ministry of Social Affairs asked advice from Nogepa, IRO, PriceWaterhouseCoopers (PWC) and the Unions on the plans to introduce compulsory social insurance for every one working on the Dutch Continental Shelf. PWC made a paper listing all the possible problems that might arise by introducing social security changes on the NCP. The law came into effect on the 23rd December 2010. All employees who are working on the Dutch part of the continental shelf will be mandatory covered by national insurance, health insurance and employee insurance scheme. With the introduction of this law foreign employees working on the Dutch continental shelf who do not live in the Netherlands will be covered by Dutch social security legislation the same way as foreign employees who work in the Netherlands but do not live in the Netherlands irrelevant of the duration of the work period on the continental shelf.

Source: http://www.iro.nl/Services___Products/Regulatory_Affairs.aspx?mId=9728

[Steve White]

I did read somewhere that the Dutch were implementing compulsory National insurance comtributions for all those working in Ducth waters. It was no small amount being touted at the time but I can’t find reference to specific information at present.

I think it may be relatd to this:

Ministry of Social Affairs and Employment
IRO regularly meets with the Ministry of Social Affairs and Employment on issues related to labour like: the change of the social security status of the Dutch Continental Shelf; regular and irregular working times and working permits for marin/offshore personnel. http://www.szw.nl

– Change social security status Netherlands Continental Shelf
The Ministry of Social Affairs asked advice from Nogepa, IRO, PriceWaterhouseCoopers (PWC) and the Unions on the plans to introduce compulsory social insurance for every one working on the Dutch Continental Shelf. PWC made a paper listing all the possible problems that might arise by introducing social security changes on the NCP. The law came into effect on the 23rd December 2010. All employees who are working on the Dutch part of the continental shelf will be mandatory covered by national insurance, health insurance and employee insurance scheme. With the introduction of this law foreign employees working on the Dutch continental shelf who do not live in the Netherlands will be covered by Dutch social security legislation the same way as foreign employees who work in the Netherlands but do not live in the Netherlands irrelevant of the duration of the work period on the continental shelf.

Source: http://www.iro.nl/Services___Products/Regulatory_Affairs.aspx?mId=9728

All is becoming clearer 🙂 Referring back to my previous post on this subject, there is no change regarding EU/EEA residents and exemption from Dutch SI as long as you and/or your employer meet the required criteria. The effect of the new legislation introduced in January 2012 in the main affects non-EU/EEA residents and/or employers although there have been individual agreements with non-EU/EEA countries along the same lines.

From 1 January 2012 those working within the Dutch Continental Shelf who are non-Dutch resident employees are now covered by the Dutch SI scheme and as a result, employee and employer contributions become payable. These are dependent on a number of conditions being met. If these are met then these individuals and their employers could be obliged to make contributions to the Dutch SI scheme. These conditions will potentially apply unless an individual or an employer is exempted from paying Dutch SI under either the E101/A1 scheme or by a certificate of coverage.

Under the A1/E101 scheme, an individual may be able to remain exclusively covered by their home country social security scheme and avoid Dutch SI. Under normal circumstances, however, a certificate (A1/E101 or Certificate of Coverage) from the home country social security authorities will need to be presented and filed with the Dutch authorities in order for them to grant an exemption from social security.

[Paul Bond]

Many thanks

[James McLauchlan]

Steve

Also, thanks from me for researching this. :tup:

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