The government has introduced numerous measures to help companies affected by the coronavirus crisis to cover their costs. Which of these also apply to a director/major shareholder (DGA)?

 

Temporary Emergency Bridging Fund for Employment (NOW)

Under the NOW scheme employers can apply for a contribution towards their payroll costs up to a maximum of 90%. The salary of a director/major shareholder only comes under this if he/she is compulsorily covered by employee insurance schemes. You should also bear in mind that the maximum salary for which a contribution can be obtained has been set at € 9,538 per month, including for you as a director/major shareholder.

 

Temporary Bridging Scheme for Independent Entrepreneurs (Tozo)

Independent entrepreneurs who are affected by the coronavirus crisis can apply for additional income support via their local authority to help cover their living costs and/or working capital. Their income is then supplemented up to subsistence level.

 

To qualify for the contribution, entrepreneurs must satisfy a number of conditions. As a director/major shareholder, you are also required to devote at least 1,225 hours to your business.

It also seems that you need to hold at least 50% of the shares, either alone or together with any other directors working at the company. We will inform you straight away as soon as more is known about this.

 

Contribution of € 4,000 towards costs

Entrepreneurs in sectors that have been particularly affected by the coronavirus crisis, such as catering, can apply for a net contribution of € 4,000 towards their costs. This is possible under the Contribution for Entrepreneurs in Sectors Affected by COVID-19 scheme (Tegemoetkoming Ondernemers Getroffen Sectoren COVID-19 (TOGS)), previously known as the Emergency Service Point (Noodloket). Companies are required to satisfy a number of different conditions, such as having one of the qualifying SBI codes. The scheme is therefore also open to private limited companies (BVs) that fulfil the conditions.

 

Deferment of tax payments

Companies can apply online for a deferment of payments for a range of different taxes, including payroll tax and income tax. That means a company can apply to defer payment of the payroll tax due for a director/major shareholder and that, if you are a director/major shareholder, you can also do so yourself for the income tax you owe.

 

Customary salary for directors/major shareholders

If the coronavirus crisis has a significant impact on the turnover and liquidity of your company, as a director/major shareholder you can temporarily agree on a lower monthly salary in 2020. At the end of the year you determine your customary annual salary for 2020 and enter this in your payroll tax return. As a result of the coronavirus crisis, you can therefore determine your customary salary retrospectively, as you then have a clearer picture of the consequences of the crisis. You are not permitted to reduce any salary already received with retroactive effect. The relevant changes can also be made in your provisional income tax and health insurance assessments.

 

Director/major shareholder in the medical sector

If you are a director/major shareholder in the medical sector, your company can take advantage of support from health insurers if you have suffered a drop in turnover. The contribution is based on the loss of reimbursed turnover and is expected to amount to around 60 to 85% of the turnover that is normally reimbursed. This assistance is intended to apply to all care provided under basic and supplementary health insurance, with the exception of opticians and uncontracted hearing care professionals.