At Forvis Mazars, we inform you about the recent developments and rules and regulations that can have impact on you or your organisation. Would you like to minimise your risks and maximise your opportunities? We have listed several noteworthy news items that can be of use to you.
The impact of royalties on the customs value
5 August 2020 - On 9 July 2020, the Court of Justice of the European Union (CJEU) concluded in the case of Curtis Balkan (C‑76/19) that royalties should be taken into account for determining the customs value of semi-finished products used for manufacturing of licensed finished products for which royalties have been paid.
The opportunities of the unique dynamics of the family business in a crisis
20 July 2020 - For you as a family business it is very important that you manage crises and risks well. Not only during the corona crisis that we are in now, but in every crisis. There is often a lot at stake for your family business. From taking good care of the staff and reputation, to the ambition to continue your family business in the long term and to keep all the good work of previous generations. How do you ensure that your family business keeps its head above water in a (financial) crisis?
Important change in customs regulation for non-EU-based businesses
30 July 2020 - The Dutch customs authorities have announced an important change in the definition of “exporter of record” that will apply as from 1 January 2021. Accordingly, it will (from a customs point of view) not be possible for non-EU businesses to act as exporter of record in the EU.
Does a municipality act in the operation of cemeters as government?
17 July 2020 - On 19 June 2020, the Supreme Court ruled whether a municipality acts as a government in the operation of cemeteries. The Supreme Court indicates that the fact that a municipality carries out a statutory task is not sufficient to conclude that that activity qualifies as a government act. The task itself, in this case the operation of a cemetery, must also imply that a municipality acts on the basis of specific governmental powers. As a result, the VAT Compensation Fund (BCF) excludes a full compensation of the VAT charged to the municipality for these activities.
Wtl: LIV changes in LKV young people
15 July 2020 – The law for allowances within the pay domain (Wet tegemoetkomingen loondomein – Wtl), which supports people with a weak position on the labor market, will arranged differently. The labor cost benefit for young people (LKV jongeren) is introduced and will replace the low income benefit (LIV). The change will as expected take place on 1 January 2022.
Charity organisations and the Emergency Employment Bridging Fund
15 July 2020 – The Dutch cabinet has introduced the Emergency Employment Bridging Fund (Noodfonds Overbrugging Werkgelegenheid – NOW) to protect jobs and incomes. This measure is an allowance towards wage costs for companies that are currently losing turnover. This also raises questions for charity organisations.
The financial and fiscal consequences of renting out real estate
14 July 2020 – Real estate investors are increasingly faced with delinquent rental payments, providing rental discounts, suspensions and the remission of rent. This is especially common within the real estate market, specifically for retail.
Judgement of the ECJ: co-location services
10 July 2020 – In several EU member states the VAT treatment of co-location services is inconclusive. On 2 July 2020 the European Court of Justice ruled that the co-location services of the Finnish company A Oy cannot be qualified as the rental of real estate or other real estate services. This judgement offers a nice clarification for practice.
VAT and e-commerce: new rules as of July 2021
2 July 2020 - As of July 2021, new VAT rules will enter into force in the EU. If you sell goods (online) to consumers in the EU, the new rules will most likely have an impact on your business. The new rules require changes within your company.
Board resolutions by online meetings: approval of the State Secretary of Finance
1 July 2020 – We previously wrote about the risks involved in taking board resolutions remotely. On 15 June 2020, a statement was made by the Dutch State Secretary of Finance regarding the problem that potentially would arise for the application of the Dutch substance requirements. In this contribution we provide you with an update.
The tax system: selling your transport company - part 3 of 4
30 June 2020 - What are the options for achieving a fiscally and organisationally favorable structure for the transfer of your transport company? That is a question that we have already addressed in part 3 of the four-part "The optimal structure". The possibilities of contributing to a private limited company and splitting up business activities were discussed. In part 3 of this four-part section, we will take you further into one of the options for optimally structuring your tax structure in the event of a sale of your company.