Many companies require advice concerning wage tax. After all, every employer in the Netherlands must pay payroll tax for his employees. The remitting of the payroll tax is usually conducted by the company’s payroll administration or by the bookkeeper or accountant.

However, there are often many ambiguities. As a company, one must keep records that meet the prescribed guidelines drawn up by the Tax and Customs Administration. These records are mostly kept by a payroll or salary administration. They must keep track of how much wage tax and social security contributions must be remitted. Often questions arise such as:

• How should the payment of certain forms of wages be viewed?
• Can a salary split be applied?
• Should we switch to the work-related costs scheme (werkkostenregeling)?
• What about the collective labour agreement (CAO) in which our company operates?