Tri-national tax agreement for frontier workers who are working from home
After weeks of work by all the Cross-Border Information Points, there is now an agreement for all frontier workers in the Euregio Meuse-Rhine, eliminating the problem of "physical presence" for tax purposes in the country of employment.
Since the beginning of the COVID-19 pandemic, all GrensInfoPunten (GIP) at the German-Dutch, German-Belgian and Belgian-Dutch border have been working on answering questions from cross-border commuters. These include questions about the reasons for being allowed to cross borders, emergency aid and tax issues: the GIPs were and are an important point of contact for many employees and employers.
The number of consultations at the Aachen-Eurode BIP doubled between February and March this year and the number of visits to the GIPs' website is increasing every month, so there is no doubt that there is a great need for advice.
The most urgent questions are collected from these consultation sessions and passed on to the responsible authorities in the respective states. As soon as an agreement is reached, the list of questions from the GIPs is updated so that border commuters always have up-to-date information at their disposal.
All three countries in the EMR have agreed on the issue of taxation for frontier workers working from home: double taxation and the 25% rule will be abolished for the months of the COVID-19 pandemic.
The list of questions and a FAQ can be found on the GIP website.