In this post we would like to draw your attention to a possible attractive tax benefit that you
as a DGA can take advantage of.
As you may know, the Work Cost Scheme (WKR) gives companies in the Netherlands the
opportunity to make tax-free reimbursements/benefits in kind to employed staff. Consider a
Christmas package, staff dinner or tax-free bonus.
Every company has a certain amount of free space each year in which they can account for such
expenses tax-free. This also applies to you as a DGA. You can use your company’s free space
to, for example, pay yourself a tax-free bonus via the December 2024 pay slip. We can help you
with this.
If you want to make use of this, we would like to ask you the following. Check the online
environment of the (holding) administration to see whether any costs incurred in your private
sphere are included as business costs. (Such costs must be charged to the free space.)
- If that not If that is the case, you can check for yourself in NMBRS how much free space
is available for your company. In this short video we will explain how and where you can
see this. Then let us know if you want to use the free space, for example. a tax-free
bonus on the pay slip. And for what amount. The responsibility for this choice lies with you
as an entrepreneur. - If that is the case, you can ask us to prepare an interim WKR report after our monthly audit of the accounting. Then you know exactly how much free space is left. This is an
additional service at extra costs because it is different for every administration and is
difficult for us to estimate in advance.
If you have any doubts, you can always contact us or schedule an online appointment with us via
this link. See also our blog for information about what types of costs are or are not allocated to
the free space. The WKR can be quite complex. If the free space is exceeded, an 80% final levy
is due to the tax authorities on the excess. It is therefore important to check with us whether this
space is not exceeded. For example , we have described what we often see with our customers in
chapter 3.1 of our blog
If you wish to make use of this, we would kindly request that you indicate before December 15
whether the WKR should be used and whether we should process any tax-free bonus in the
salary round for the month of December. The tax-free bonus may under no circumstances exceed
€2,400 per person, even if the free space is sufficient.
Let us know how you want to use the WKR. Do you have any questions about this or would you
like to discuss your individual situation with us? Feel free to call us or schedule a meeting with us.
