Deliveroo ruling: more focus on practice over paper
- Practical implementation counts: The Tax Office assesses not only what is on paper, but more importantly how the cooperation works in practice.
- Authority: How much control do you have over the way the ZZP's work?
- Embedding: If the ZZP worker performs work that is essential to your organization, this may indicate employment.
- Intent not decisive: Even with a clear agreement, an employment relationship can still qualify as employment.
Lifting the moratorium: tighter controls
- More supervision by the Inland Revenue: There will be more active monitoring of false self-employment.
- Financial risks: If reclassified as employment, you can expect additional taxes and penalties (payroll taxes and contributions).
- Responsibility lies with the client: You must be able to prove that the collaboration is not an employment relationship.
New standards framework and holistic approach
The Holistic Assessment The Internal Revenue Service is now looking more broadly at the employment relationship regarding:
- Contractual agreements.
- The actual work situation.
- The degree of equivalence: How dependent is the self-employed person on your organization?
Specifically, what does this mean for clients?
- Check agreements: Use approved model agreements and align them with practice.
- Adjust working methods: Make sure the execution of the assignment matches the agreements.
- Avoid authority relationships: Let self-employed workers work independently and do not give daily instructions.
- Document carefully: describe how the collaboration works so you can demonstrate it in an audit.
Risks
- Risk of additional taxes: If the Internal Revenue Service reclassifies the partnership as employment.
- Possible loss of contracts from your client: clients may drop out due to chain liability.
- Potential loss of talent: Self-employed people may drop out if your terms become too restrictive.