A dga has been receiving a management fee from his holding company for years for his work as a director. He is also entitled to stem right payments from his pension limited company. The payments should have started no later than 2017, when he reached the state pension age. However, this does not happen. The man continues to work full-time as a director and receives a management fee from his holding company.
Stamrecht started late
The inspector finds that the standing right started late. Normally, this leads to taxation on the full value of the entitlement in one go, plus 20% revision interest. However, the inspector offers an alternative: rectify the situation by still declaring standing right payments as of 2018. The shareholder opts for the alternative, but wants to reduce the management fee retroactively. His reasoning: if he still has to declare standing right payments, he may reduce his management fee accordingly. On balance, his income would then remain the same.
Two companies, two titles
The inspector refuses. The management allowance is the payment for his work as a director and comes from the holding company. The standing allowance is the payment from his old severance pay and comes from the pension limited company. These are two different companies with two different reasons for payment. You cannot offset one against the other.
Receiving remains receiving
The court upheld the court's judgment. The dga received the management fee and the holding company withheld and remitted payroll taxes. Thus, the salary was enjoyed. That is a fact that cannot be tampered with afterwards. The managing director argued that this was an error that had to be corrected. The court sees this differently. There is no mistake, but a changed position. Reducing the allowance afterwards would, at most, result in negative pay in the year of repayment. It does not alter the fact that the dga already enjoyed the pay in 2018 and 2019.