Procedure: how to obtain a wage tax number
This article explains how to register as an employer in the Netherlands and what information you will receive from the Dutch tax authorities.
If your company is going to employ staff in the Netherlands, you will have to register your company as an employer to get a wage tax number. The options you have depend on your situation.
Your company is based in the Netherlands and already registered in the Dutch Trade Register of the Chamber of Commerce
You use the form ‘Loonheffingen Aanmelding Werkgever’ (Wage taxes Registration Employer) to register your company as an employer. This form must be sent to the tax authorities by post. Since your company is already registered with the Chamber of Commerce the Dutch tax authorities already have a lot of information about your company. Due to this the registration procedure is more straight forward.
You inform the Chamber of Commerce once you have hired the first employees. You must keep the Chamber of Commerce up to date about the number of employees you have in the Netherlands.
Your company is not based in the Netherlands and not registered in the Dutch Trade Register of the Chamber of Commerce
You determine whether you need a physical presence in the Netherlands and if you would like to establish a new entity in the Netherlands. During the establishment of a Dutch entity registration in the Trade Register is required. You can then also indicate that you will employ staff. The Chamber of Commerce will link with the Dutch tax authorities so that a wage tax number is provided. You must keep the Chamber of Commerce up to date about the number of employees you have in the Netherlands.
If you won’t have a physical presence in the Netherlands then you don’t have to register with the Chamber of Commerce. This is different if the service you provide in the Netherlands will be the provisioning of staff (like a recruitment or contracting agency). If your company is engaged in entrepreneurial activities in the Netherlands then you may choose to register with the Chamber of Commerce but it is not necessary.
If your company will not be registered with the Chamber of Commerce you will need to register with the tax authorities directly to get a wage tax number. As a foreign entity you will have to use the form “Aanmelding Onderneming Buitenland”. The procedure is then more extensive because more information is required by the tax authorities.
Documents which you will need to provide are:
- documents showing what activities your company undertakes in your home country;
- if you are registered at a foreign Chamber of Chamber of Commerce: proof of registration;
- if you are renting out or purchasing immovable property in the Netherlands: information about this;
- if you have a temporary employment contract with 1 or more employees: the form ‘Disclosure of Payroll Taxes for Temporary Workers’;
- if you have taken over activities from another employer in the Netherlands: the form ‘Notification of transfer of activities’;
- if you have an authorised representative in the Netherlands: a copy of the authorisation;
- if you are established in a non-EU country: a tax statement from that country confirming that your company is registered with the tax authorities there;
- if the entrepreneur is an individual or partnership: a copy of the identity document for each natural person who does not have a Dutch citizen service number;
- if your company has a different legal form: a copy of the certificate of incorporation.
Is your attachment not in the Dutch, German or English language? If so, you must arrange for a translation yourself.
The registration with the tax authorities can stay limited to wage taxes only if you are only employing staff in the Netherlands without a permanent establishment.
Expatax will help you with the registration when you hire our services.
You can find more information about our services and the information and documents we require to help you further in our brochure.
Wage tax number
After the tax authorities have received the registration form, you will receive a wage tax number within 3 weeks.
If you register before an employee enters service, you will receive a wage tax number within 3 weeks after the employee enters service.
Wage tax return letter
After registration you will receive the ‘Wage tax return letter’ within 3 weeks. This letter contains the following information:
- the periods for which you have to file the wage tax return
- the latest declaration and payment date per period
- the payment reference per period
You need this information to file and pay your wage tax return in time.
Article: Wage tax in the Netherlands
The tax authorities issue the letter only once, so keep it in your administration.
Data employee insurance
If you have to pay employee insurance premiums, you will receive letters within 4 weeks with information about:
- the sector classification
- the percentage for the differentiated premium Werkhervattingskas (Whk)
Sector classification / sector affiliation
All employers are assigned to a sector by the tax authorities. This sector classification is important for the amount of a number of premiums.
The sector in which an employer must be affiliated depends on the activities that are actually performed and the function of the employer in society (functional classification). The basic principle is that employers who perform the same activities must be affiliated with the same sector. So it is important that the correct activities are registered at Chamber of Commerce/tax authorities. Premiums vary per sector and the difference in amount can be considerably.
What does the Werkhervattingskas (WhK) involve?
The Werkhervattingskas (Work Resumption Fund) is part of the employee insurance schemes. These premiums are used to fund employees who are ill or disabled for work. Many employers are faced at some point with employee absence due to illness. This may be short or long-term sick leave.
Employers have a number of obligations that must be met around the reintegration of employees. These include the duration of the absence and the type of contact the employee has. By complying with these obligations, employers can avoid the risk of a possible increased Whk premium.
How is the Whk decision drawn up?
The premium percentages used by the tax authorities are determined based on the total salary bill which is subject to premiums social security for the previous two years. So the percentages for the year 2021 are calculated with the information from the year 2019. A distinction is made among employers between three different employer sizes (employer categories). Different contribution rates apply to these different categories. Each year in November, the tax authorities send the Whk decision to employers for the following year. For starting employers the premium is calculated differently since the employer doesn’t have a history yet.
Employees insured at a later date
You already registered as an employer, but you will take on employees at a later date for whom you have to pay employee insurance premiums? If so, report this using the form ‘Melding Loonheffingen Premies werknemersverzekeringen betalen’ (Notification Wage taxes and Premiums employee insurance payment).
Acquisition of a company
If you are starting a business by taking over a company with employees, you can register as an employer immediately upon registration with the Chamber of Commerce.
In addition, you and the transferring employer must submit the form ‘Melding Loonheffingen Overdracht van activiteiten’ (Notification Wage taxes Transfer of activities). You should also use this form if the legal form of the company changes or if you are already an employer and acquire another company with employees.
Consequences for the ZW and Whk premiums
If you acquire a company with employees, the allocation of any ZW and WGA benefit costs will change. This may also change the differentiated premium.
Expatax can help you!
Expatax can help you with your payroll administration in the Netherlands which includes the registration as an employer and arranging all required numbers. This will save you a lot of work and stress.