Yan Incorporation is striving, in the wake of the epidemic, to supply truthful and confirmed news. Today’s article will take a closer look at the Tozo scheme. The measure is part of the Dutch Government’s support bundle for mitigating the economic effects of the virus.
The Temporary bridging measure for self-employed professionals (Tozo) is aimed, as the name implies, at self-employed professionals such as a sole proprietor, zzp'er, partner in a general partnership, owner of a private limited company (dga), who are experiencing financial difficulties due to the corona crisis.
The opportunities under this measure are two:
Income support It is dependent on the situation regarding income and household. The amount is not to be repaid, additionally no partner or capital test are present. Max amount €1,500 (net)
A loan for business capital The amount must be repaid, a delay for payment obligation can be requested. Max amount of €10,157
The scheme comes into effect with retroactive effect on 1 March 2020, and will remain in place until 1 June 2020 at least. Application are via municipality of residence.
For quicker disbursement and process, the viability test has been skipped. The user will receive income support for a maximum of 3 months within 4 weeks. In case of complications due to excessive rush, the municipality can provide the amount in advance.
Terms and conditions
Eligibility for this support comes with an extensive list of requirements:
you meet the legal requirements for being a business owner
you have all permits required for your profession or business
your business is still active unless activity has been ceased due tot the corona crisis
owners of a private limited company (dga's) must hold at least 50% of shares
you live in the municipality where you apply
your income has fallen below the social minimum and/or you have liquidity issues and you need a business loan
you are an established self-employed professional, ages between 18 and (state) pension age
your nationality is Dutch or equalled
you live and reside in the Netherlands legitimately* *Access to a loan for business capital under this scheme will be arranged through a Ministerial regulation if you live outside of the Netherlands but have a business in the country
you practice your business or profession in the Netherlands.** **Similar situation as above
you started your company before 17 March 2020, 18:45 and you meet the hours criterion (Min 1,225 h/year) if you started less than a year ago then a minimum of on average 23.5 hours per week applies
Important to point out is that foreign nationals with a regular temporary residence permit under the 'work as self-employed person' limitation who make use of the Temporary Bridging Scheme for Self-Employed Entrepreneurs (TOZO) will have no problems or consequences for the foreign national's right of residence.