Deadline work-related costs rules

Have you completed your accounts for the work-related costs rules (WCR)?

The deadline for 2022 is fast approaching. If your WCR accounts show that you exceeded the discretionary margin in 2022, then the last payroll return in which you can report the 80% final levy payable is the payroll return for February 2023 (if you file monthly returns). You have until March 31, 2023 to file the payroll return for February 2023.

Although the work-related costs rules were introduced in 2011, it is still often the case in practice that the WCR accounts are not up-to-date and therefore it is unclear how much of the discretionary margin has been used up and how much is still available. This also makes it difficult to make the best use of the discretionary margin and this, in turn, may lead to an unexpected 80% final levy at year-end. Moreover, during audits the Dutch tax authorities always ask for written documentation about the work and control processes surrounding the work-related costs rules.  

KPMG Meijburg & Co would be pleased to not only help you structure your WCR accounts and make the best use of the WCR, but also to describe the work and control processes. A WCR statistical sample test is an ideal tool to gain (better) insight into any matters requiring attention. Feel free to contact us to discuss the opportunities available.