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Prolongation of tax forbearance regime

tax forbearance

A COVID-sparked temporary tax forbearance regime has been in operation for a while under which business owners upon request are automatically granted a three-month payment extension for their delinquent taxes, with the option to qualify for prolongation on condition that they should meet particular criteria. The extension-cum-prolongation regime has now been prolonged until the first of July 2021, as the date until which business owners have the option to apply. Both extension and prolongation elapse as at the first of July 2021.

Business owners who on expiry of the original three-month payment extension term continue to be unable to resume making tax payments without their having applied for their extension to be prolonged are at risk of forfeiting their eligibility for the Tax and Customs Administration’s 36-month payment plan for delinquent taxes. The first of July 2021 has been fixed as the expiry date of payment extension already having been granted this year to business owners, with the starting date of repayment – over a period of 36 months at the most – having been pushed back from the first of July to the first of October 2021.

Dutch version: Verlenging versoepeld uitstelbeleid belastingschulden

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