Having a foreign employee temporarily working in the Netherlands, or a Dutch employee that is temporarily working abroad, you will need a shadow payroll. A shadow payroll is a normal payroll, but without actual payment to the employee.
Why shadow payroll?
Shadow payroll is needed for the calculation and payment of wage taxes owed.
In this way, it is ensured that the employee has paid all applicable taxes and social security fees. It prevents unpleasant surprises in the future for both employee and employer.
A shadow payroll requires extensive knowledge of tax regulations and international treaties. At Arvode, we have that knowledge and expertise and are able to provide a comprehensive service regarding the shadow payroll.