![]() ![]() Namely that the right to the fixed fee was already established no later than March 12 2020. The same applies to fixed expense allowance. You do not have to stop this travel allowance. How about the fixed travel allowance? One of the corona measures is that the tax authorities approve that you may continue to pay the fixed travel allowance during the corona crisis. Travel expenses (while not working from home) and the WKRĪs a result of working from home, your staff does not come to the office, or to a lesser extent, over a longer period of time. And there is a chance that all kinds of staff parties and outings will not take place in 2020, as a result of the corona crisis, so that you may not use part of the WKR budget. As a result, you may be able to do something for your employees working from home. For example, the free space was increased to 3% in 2020, for the first 400,000 euros of the employer's wage bill. This is because the allowance is not specifically exempted as the home workplace does not qualify as a workplace for the WKR.Īlthough the WKR is limited, there are still opportunities for you. The compensation falls within the free space of the WKR. But is that home workplace a workplace from a tax point of view? And does the WKR therefore apply? Possibly employees are also investing in improving the home workplace. For example, in the sense of coffee, toilet paper and electricity consumption. This entails additional costs for the employee. Many employees are currently working from home because of the corona crisis. Of course, there can also be a downside and you exceed the free space without paying the wage tax, with possible fines and a tax interest of normally 8 percent as a result. ![]() In other words, this observation resulted in a saving of up to 80,000 euros in wage tax. We would like to illustrate the result with an example:Īt a client it turned out that, on the basis of outdated legislation, an amount of more than 100,000 euros had wrongly been placed in the free space. That is therefore also step one that you should pay attention to. The lack of structural embedding in the financial administration and processes is often due to the fact that no agreements have been made between Finance, Payroll and HR. Whilst you undoubtedly want to know whether you exceed the free space of the WKR, or whether you can still take advantage of tax opportunities by maximizing the used free space. In particular because the WKR is not included, or at least not structurally, in the financial administration and processes. Our experience shows that the WKR often gets a limited degree of attention. The WKR and financial administration and processes WKR calculation tool: calculate your flat rate amountĪs an employer, do you have difficulty correctly applying the WKR and documenting this? Use our calculation tool to easily make an indicative calculation of the flat rate amount in the WKR. Be careful not to exceed the free space as you have to pay 80 percent wage tax on this extra amount, also known as the final levy! You should also determine that the amount you spend on your employees is customary. View the website of the Tax and Customs Administration for the current percentages. The percentages that determine the free space are adjusted frequently. The free space in the WKR means that you may spend part of the wage bill untaxed on your employees. Three categories that are not considered reimbursements in the WKR are part of the travel allowance that exceeds 19 cents per kilometer.A number of costs that are not directly related to the activities of your employees that fall under the WKR are: What costs are covered by the WKR? What exceptions are there? And how do I use the free space? Just a few questions that we often get asked in practice. Our advice is that proper agreements are made between Finance, Payroll and HR so that responsibility is clear and assigned. ![]() And what about the costs for staff parties? These declarations are processed in the financial administration. Consider, for example, the costs that the employee declares separately. However, it is not necessarily the case that all allowances and benefits in kind are processed via the payslip. In that sense, the payroll department is responsible for the declaration and therefore also for the WKR. You must declare the WKR in the payroll tax return. What about the WKR and working from home?ĭoes a company fitness or bicycle plan fall under the WKR? Is a bonus or salary increase fiscally attractive with the WKR? ![]()
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