Dispute with UWV or Tax Authorities

When do you need legal assistance in a conflict with the UWV or the Tax and Customs Administration?

The UWV and the Tax and Customs Administration are large government agencies that make decisions based on complex legislation. As an entrepreneur or employer, you have little room for negotiation — you are dependent on the formal objection and appeal route.

That route is subject to strict deadlines. Anyone who objects too late essentially has no legal remedy left. For some UWV decisions, a time limit of only two weeks applies. Have your position assessed as soon as you receive a decision with which you disagree.

Disputes with the UWV

As an employer, you regularly deal with decisions by the UWV that directly affect your business operations. The most common situations are the following.

A dismissal permit is refused. You have submitted a dismissal application to the UWV due to business economic reasons or long-term disability, but the UWV rejects the application. You can lodge an objection, but you may also consider whether dissolution via the sub-district court is a better route.

A wage sanction is imposed. The UWV imposes a wage sanction because you, as an employer, allegedly failed to adequately fulfill your reintegration obligation. A wage sanction means that you
must continue paying the wages of a sick employee for up to a year longer. An objection is possible if the wage sanction is unjustified.

A WIA or Sickness Benefits Act decision. The UWV determines your employee's incapacity for work in a manner
that has financial consequences for you as an employer — via the Whk premium or self-insurance. As an employer, you may also have an interest in the outcome of a WIA assessment.

An unemployment benefit application from a former employee. A dismissed employee applies for unemployment benefits, and the UWV assesses whether the
dismissal was attributable to the employee's fault. If the UWV rules that you, as the employer, acted attributably, this can have consequences for the award of unemployment benefits and your position as an employer.

Disputes with the Tax Authorities

As an entrepreneur, you deal with the Tax and Customs Administration on multiple fronts. The most common disputes are the following.

An incorrect tax assessment or additional assessment. You receive a corporate income tax, income tax, VAT, or payroll tax assessment that you believe is incorrect. You can lodge an objection with the Tax and Customs Administration within six weeks.

A tax audit resulting in an additional assessment. Following a tax audit, the Tax and Customs Administration imposes an additional assessment or fine. We assess whether the additional assessment is justified, what defenses are possible, and whether the fine can be
reduced or annulled.

A tax penalty. The Tax and Customs Administration imposes a default penalty or an offense penalty. Default penalties are
imposed for late filing or payment. Offense penalties are imposed in cases of intent or gross negligence and can be significantly higher. In many cases, filing an objection is worthwhile.

VAT disputes. Discussion regarding the VAT classification of services, the right to deduct input VAT, the
application of the reduced VAT rate, or a VAT reassessment following a tax audit.

Payroll tax and the DBA Act. The Tax and Customs Administration corrects the payroll tax or determines that an employment relationship exists with a hired self-employed professional. This can lead to additional assessments of payroll tax, social security contributions, and fines.

The objection and appeal procedure

You follow the same steps at both the UWV and the Tax and Customs Administration.

First: objection. You submit an objection to the institution that made the decision. The standard time limit is six weeks, but please note: for some UWV decisions — including certain Sickness Benefits Act decisions — a time limit of two weeks applies. Always read the letter carefully regarding the stated objection period.

Secondly: appeal. If your objection is declared unfounded, you may lodge an appeal with the court within six weeks. For tax disputes, you go to the tax court. For UWV disputes, you go to the
administrative court.

Thirdly: appeal. In tax cases, the appeal goes to the Court of Appeal and subsequently, possibly, to the Supreme Court. In UWV cases, the appeal goes to the Central Appeals Board.

Pro forma objection: submit in a timely manner while you are still developing the grounds

If the objection period is approaching but you have not yet fully elaborated on the grounds, you can submit a pro forma notice of objection. By doing so, you notify the institution of the objection in a timely manner and are given the opportunity to supplement the grounds later. This is better than filing an objection too late—which is, in principle, fatal.