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Dutch Government Publishes Letter to Parliament on Planned Reduction in Unemployment Fund Contribution Rates

|Proposed Changes|Netherlands
Netherlands

The Dutch government has published a letter to parliament regarding the planned reduction of the unemployment fund (AWf) contribution rates for employers from 1 August 2021. The reduction is being provided in relation to the withdrawal of the new job-related investment tax credit (BIK) with retroactive effect from 1 January 2021 due to potential State aid issues in the EU. With the withdrawal of the BIK, the government is planning to reduce the AWf contribution rate from 2.7% to 0.34% for em…

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