Only events of a purely professional or business nature fall outside the WKR. In concrete terms, this means that if you hold a conference or meeting at an external location, it will fall outside the WKR.
If you organize a company outing, incentive or other fun event and the amount spent falls outside the free allowance*, you can expect an additional levy of 80%.
In the above lies an enormous opportunity to simultaneously work on content and team building within the company without getting unpleasant surprises afterwards.
* De vrije ruimte is 1,7% van de loonsom (tot €400.000,-) + 1,18% van de loonsom (boven de €400.000,-) deze percentages zijn vastgesteld voor het jaar 2022.
Bedrijf X heeft een loonsom van €500.000,-.
Dan mag bedrijf X 1,7% van €400.000,- (€6.800,-) + 1,18% van de resterende €100.000,- (€1180,-) = €7.980- vrij besteden.
Company X is going on a winter holiday with 35 people and has a budget of €600,- p.p. For this they want travel, accommodation, ski pass and fun activities for non-skiers.
As soon as this €600 exceeds the free allowance of the WKR, an additional levy of 80% can be expected. This means that the winter sports trip actually costs €600 + €480 (80% of 600)= €1080.
Company X is going on a winter holiday with 35 people and uses this moment to determine the strategy for the new year and to get away together in a fun way. Upon arrival they start with a short substantive kick-off meeting in which the program is presented.
Every morning there is a meeting in which various topics of the strategy to be followed are discussed, combined with short workshops.
After lunch everyone hits the slopes or the non-skiers do a program of fun activities in the snow. The afternoon ends with an après-ski.
Globally the costs are as follows:
Approximately €400 of the budget is now spent on professional matters about the company. This part falls outside the WKR and we will send a separate invoice for it.
Approximately €200 of the budget is used for fun and team building during the trip (excluding the drinks at the après-ski, to be paid by the employee).
If this last amount exceeds the free margin of the WKR, the 80% levy can be expected. The expected total amount is then €200 + €160 (80% of 200)=€360.
The total amount of this ski trip will be €400 + €360 = €760 p.p.
You can see that a few adjustments to the programme make the company outing or incentive tax-deductible. Adjustments that also help the company with content. Financially it provides for this trip an advantage of €1080 - €760 = €320 p.p. On the mentioned group size of 35 people this comes to a total saving of €11.200,-.
Then get in touch with us. We are happy to look over your shoulders and offer our years of experience and advice on your upcoming trip with the company.
N.B. The above calculation is a purely informative calculation from which no rights may be derived in any way!