Law changes for 2018 so far: Entrepreneurs

With the new year starting, the Dutch government is implementing a number of new laws and changing some existing ones. Below is an explanation of changes to the law applying to entrepreneurs.

The VAT agricultural regulation expires on January 1st, 2018. From next year farmers, horticulturists, forest holders, and livestock farmers will start paying VAT on all their goods and services.

Next year self-employed persons may have assets worth 188,997 euros and still qualify for social assistance. In 2017 the maximum assets amount was 186,398 euros. 

The maximum startup credit - a credit people on social assistance can request from their municipality to start their own business - is increasing from 35,677 euros in 2017 to 36,155 euros in 2018. This credit is an interest-bearing loan. 

Next year employers lose their premium reductions for employing younger, elderly and disabled workers. This is being replaced with labor costs benefits. The labor costs benefits are lower per employee than the premium reductions were, but more employers can make use of it. It also benefits smaller businesses, who can get the full labor cost benefits. Whereas they only got part of the premium reductions, because they paid less on employee insurance premiums than the maximum premium reductions. More information about the amounts involved and how they changed, can be found here. 

From January employers can also receive an allowance for hiring young people between the ages of 18 and 21 years. This is to compensate for minimum wage for young people increasing in July of this year. The Tax Authority will pay this allowance automatically at the end of the year. 

The Animal Health Fund charge is changing as of January 1st. The Ministry of Agriculture, Nature and Food Quality is changing the way in which it calculates this charge and the rate is also changing. These changes are being implemented to prevent shortages or surpluses. Due to the changes, it is possible that farmers may receive their Animal Health Fund bill earlier and more often. The rates can be found here.

In order to meet the objectives stated in the Nitrate Directive, there are rules for fertilization. The 6th action program in this field takes effect next year and will apply until 2012. The rules in this action plan mainly apply to how much nitrogen and phosphate may be used in fertilizers. More information can be found here.

On January 1st the system of phosphate rights for dairy cattle takes effect. The system's main goal is to ensure that the phosphate production in the country is reduced and stays under the phosphate limit. Information about this system can be found here.