Continued government support through 2021

The Dutch government implemented a third coronavirus support package for businesses on 1 October 2020. The existing schemes will be continued, although they will gradually become less generous. The government is also taking new measures to encourage investments by small businesses. What can you do? In recent months, we have seen that businesses appreciate our support and advice. We would be happy to help you where necessary over the coming period, for instance if you need help with the new support package. We can tell you all about the perspectives you have in the Dutch business climate.

Continued measures in third support package

The following existing support will be continued:
■ Temporary Emergency Bridging Measure for Sustained Employment (Dutch acronym: NOW): continued to 30 June 2021, subject to new conditions
■ Temporary Bridging Measure for Self-Employed Professionals (Dutch acronym: TOZO): continued to 30 June 2021, subject to new conditions
■ Temporary Emergency Bridging Measure for Sustained Employment (Dutch acronym: TVL): continued to 30 June 2021, subject to new conditions
■ Various COVID-19 loans: continuation of business loan guarantees (under the BMKB-C, GO-C and KKC schemes, see below)
■ The Netherlands Keeps Learning (in Dutch: NL leert door): free refresher courses for you and your employees

About NOW 3.0

The Temporary Emergency Measure Bridging Work (Dutch acronym: NOW) will be continued for three three-month periods, with effect from 1 October. In the first period, businesses will be eligible for the scheme if they experience a drop in revenue of at least 20%. In the second and third period (starting on January 2021), they will qualify if their drop in revenue is at least 30%.

Important news about the scale-back on support:

• The support package will be scaled back over the course of nine months: from 80% to 70% and then to 60%.
• To counteract the scale-back, businesses will be allowed to gradually reduce their wage bill by 10%, 15% and 20% without this affecting their support.

TOZO: changes as of 1 October

The Temporary Bridging Measure for Self-Employed Professionals (Dutch acronym: TOZO) will take new effect. The TOZO 3 scheme will be available from 1 October to 1 July 2021. The fact that you receive support under TOZO 2 does not mean that you will automatically qualify for TOZO 3. You will have to apply for TOZO 3 separately.

There will be the following changes:

• Besides the tests that were carried out under TOZO 2, a means test will be introduced on 1 October. Self-employed persons whose assets are higher than € 46,250 will no longer qualify for the scheme.
• Local authorities will offer additional support, such as refresher courses, reskilling and reorientation.

TVL: reimbursement of fixed costs for SMEs

The Reimbursement of Fixed Costs for SMEs scheme (Dutch acronym: TVL) will be continued to 30 June 2021. There are three three-month periods. The conditions have changed and applications have been invited since 1 October 2020.

Tax deferral facility

The deadline for applying for the tax deferral facility was 1 October 2020. The deferral will be granted until 1 January 2021 at the latest. The Dutch government will do away with this facility to prevent businesses from being unable to repay their deferred tax. They have two years to do so. That said, the temporary reduction in late payment interest – to nearly zero – will effectively be continued to 31 December 2021.

Loans and guarantees

The following credit arrangements will continue to be available after 1 October:

• Guarantee scheme for loans to SMEs (Dutch acronym: BMKB)
• Business finance guarantee scheme (Dutch acronym: GO-C)
• Small COVID-19 loans (Dutch acronym: KKC)

Discover new perspectives

Since the coronavirus crisis is not over yet, you could use a sparring partner who can offer useful input. A partner who teams up with you to look at the perspective for your business. How do you guarantee continuity? In times like these, you might have to change course and focus on what is really important. We would be happy to engage with you. Contact your Accon International adviser or send an email to international@acconavm.nl. We are here for you.