Did you receive support from the government to deal with the corona crisis? For example, NOW, TVL, Tozo, or tax payment extensions? Many support measures end per 1 October 2021. You may have to repay some types of support. And if you got an extension from tax payments, you will need to start paying these. This page explains all you need to know and do.
On this page
You may have received financial corona support from different organisations. This means that if you do have to repay, you probably cannot repay in one go: you may have to repay several amounts of money to several organisations.
At the moment, the information about repaying corona support is not complete. We will update this page as soon as we have more details.
Do you have to repay corona support?
Whether or not you need to repay, and how much, depends on your situation. Examples of when you will have to repay are:
- The money you received was a loan.
Examples: Tozo credit, or the small credits guarantee for SMEs (KKC).
- You received too much money.
For example, because your turnover was higher than you had expected. The organisation that paid the corona support money will calculate for each application period whether or not you need to repay them.
- You were granted a special tax payment extension.
If you owe tax money, you always have to repay.
Different refund datesThe different corona support schemes have been paid out by different organisations, in different time-periods. You may therefore have to deal with different refund dates.
What can you do now?
Make sure that your business records are up-to-date and correct. If you have debts, make an overview. Are you unable to pay your bills? Talk to your creditors, and ask them if they are willing to let you repay in instalments; draw up a payment plan.
Do you worry that your business may not be able to continue? KVK has a special Business in trouble section that may help you find the way forward.
Do I need to repay? What we know now, per support measure
What to repay
In most cases, you will not need to repay the TVL (Reimbursement Fixed Costs). It is a tax-free gift. Unless your turnover was higher than expected in the period for which you have received TVL. In that case, you have to repay the difference.Was your turnover loss less than 30% in a quarter for which you received TVL? You will have to repay the full amount you received for that period.The Netherlands Enterprise Agency (RVO) does not charge interest to entrepreneurs who have to repay.
What to repay
The NOW (temporary emergency bridging measure) was established to enable you to pay your staff. One of the conditions for receiving NOW is that your turnover loss was at least 20%. After your application you receive an advance payment. You will have to repay the NOW if you received too much. After every application period, you ask the Employee Insurance Agency (UWV) for a final settlement. UWV will calculate the final reimbursement. They will tell you if you will receive a supplementary payment, or that you have to repay (part of) the support, including the amount.
If you do not apply for a final settlement, UWV will assume that you are not entitled to an allowance. You must then repay the full advance.Read all information about repaying NOW.
What to repay
The Tozo (temporary bridging measure for self-employed professionals) consists of 2 parts:
- income support
- loan for business capital
The Tozo income support is a gift. It is an addition to your income, so that you receive the social minimum. You do not have to repay this money. Unless it turns out your income during the period over which you received Tozo income support was higher than expected. You have to report this to your municipal authorities. You may have received too much Tozo income support and have to repay (part of) it. You have to repay the Tozo business loan.
What to repay
The TONK (temporary support for essential costs) is meant to help you pay for your living costs. For example, if you can no longer pay your rent, your mortgage instalments, or your municipal taxes. The terms and conditions for receiving TONK may differ between municipalities. For example, your municipality is free to determine how much capital you are allowed to have.Read all about repaying the TONK.
Repaying corona loans
To support entrepreneurs, the government has expanded several existing loans. Such as the SME credits guarantee scheme (BMKB), Business loan guarantee scheme (GO), and Seed Capital scheme. There are also new credit loans such as the Corona re-launch credit for SMEs (TOA) and the Small Credits Guarantee for SMEs scheme (KKC).
The conditions for repayment are different per scheme. Check with the organisation that provided the loan.
Note: this list is not exhaustive
This overview only contains the most important schemes for entrepreneurs.
Pay taxes later
Special tax payment extension
Are you unable to pay your taxes due to the corona crisis? You can request a special extension for your tax payment from the Tax and Customs Administration for tax assessments you receive before 1 October 2021. You can apply for this extension until 30 September 2021. You do not yet have to pay the taxes for which you are granted a special extension. But you must continue to file tax returns on time.
If the Tax and Customs Administration approves your request, you only need to start paying off the tax debt you have accrued up to and including 30 September 2021 starting 1 October 2022. You will have 60 months to do so. The Tax and Customs Administration will inform you by post which scheme is available for you.
As of 1 October 2021, you can no longer get a tax payment extension. And you will have to start paying new tax obligations on time again. For example, your VAT return for the 3rd quarter of 2021.
Do not miss a payment to the Tax Administration
Do you not pay a tax assessment on time? Then the Tax and Customs Administration may decide that you will not be entitled to a tax payment extension. That would mean that you must repay before 1 October 2022. And you will receive an additional assessment and/or fine for tax that you have declared or paid too late. This rule applies to entrepreneurs who do not pay their tax on time after the final date of their special payment extension.
Important tax repayment dates
- 30 September: last day to request or extend a special tax payment extension from the Tax and Customs Administration.
- 1 October: from this date, you need to start paying new tax assessments on time again, according to the usual payment deadlines. You can no lo longer get an extension.
- 1 October: start repaying your tax debt. You have 60 months to do this.
- 31 October: pay the first instalment of the repayment arrangement before this date.
- 1 October: you have paid off your debt according to the repayment arrangement.