By way of derogation from the respective tax treaty, the choice can be made for the income received during the days an employee, solely due to COVID-19, works at home, to be considered taxable in the country of employment. The condition is that, normally, this would have been the case. This special rule only applies if the other country actually levies tax. Moreover, the employee must be able to provide a statement from his employer.

The extended agreement with Belgium has been formalized. For the agreement with Germany, this will take place as soon as possible.

Should you have any questions with respect to the above, please contact your trusted adviserĀ or one of the tax advisers of our Employment & Benefits team