The Deregulation of Assessment of Labor Relations Act (Wet DBA) aims to clarify the relationship between the self-employed and clients. But what exactly does this mean for you as a self-employed person or client? And how can you best prepare for this law? In this blog post, we dive deeper into the DBA Act and offer practical insights and tips.
What is the DBA Act and why was it introduced?
The DBA Act replaces the old VAR declaration and is intended to address false self-employment. This means that zzp’ers can no longer be hired as self-employed when they are actually employed. With this, the government wants to restore balance to the labor market, especially since in some sectors, such as healthcare and government, hiring self-employed workers has become the norm.
The purpose of the DBA Act is to create clarity in labor relations and ensure that self-employed persons are not unintentionally treated as employees. This protects both the self-employed person and the client from possible additional taxes and fines from the Tax Office.
How does the model agreement work under the DBA Act?
A model agreement is a sample contract that you can use to record agreements between a self-employed worker and a client. This agreement helps to clearly define the employment relationship and avoid employment. It is important that both parties clearly understand what is in this agreement so that there are no misunderstandings.
For the self-employed, the model agreement provides assurance that they are not considered employees. For clients, it means that they do not have to pay payroll taxes and social security contributions, as long as the agreement is followed correctly.
What impact does the DBA Act have on the self-employed and clients?
The DBA Act can have both advantages and disadvantages for self-employed workers and clients. For the self-employed, it means more certainty about their status and that they are not unfairly viewed as employees. For clients, it offers the opportunity to hire flexible talent without the obligations of an employment contract.
However, there are also drawbacks. The law can lead to uncertainty and confusion about what exactly constitutes false self-employment. This can result in additional administrative burdens and the need to engage legal support.
What are the most common misunderstandings about the DBA Act?
There are many misconceptions about the DBA Act, such as the idea that every self-employed person is automatically considered an employee. This is not true; the law focuses specifically on preventing false self-employment. Another common misconception is that the use of a model agreement always offers protection. This is only the case if the agreement is executed correctly.
In addition, some believe that enforcement of the law leads directly to fines. In reality, the enforcement regime is relaxed until 2025, which means that after-taxes will occur before fines are handed out.
How can companies prepare for the DBA Act?
Companies can best prepare by keeping themselves well informed about the requirements of the DBA Act. This includes using model agreements correctly and avoiding situations that may indicate false self-employment. This includes avoiding authority relationships and ensuring that self-employed workers use their own materials.
A useful strategy is to regularly evaluate the working relationship and make new arrangements if necessary. Good communication with zzp’ers is very important in this regard to avoid misunderstandings and ensure smooth cooperation.
In summary, the DBA Act offers both challenges and opportunities for self-employed workers and clients. By being well prepared and taking the right steps, you can reap the benefits of this law and minimize the risks. At WerfSelect, we are always ready to help you navigate this complex matter and find the best solution for your situation. Read more about it in our whitepaper.
