Employers can apply the student and pupil scheme if a student requests this in writing and meets the conditions. The scheme uses thequarterly tablefor payroll tax, which often means students have more net wages.

Conditions

The arrangement applies to students who:

1. Be entitled to child benefit on the first day of the quarter.
2. Be entitled to student financing on that day.
3. Foreign students with a valid ISIC card from the EU, Iceland, Norway, Switzerland or Liechtenstein.

Application

• The student must submit a written request with BSN, effective date and signature.
• The employer uses the quarterly table for payroll taxes and premiums.
• There is no distinction between period wages and special wages.
• The payroll tax is calculated using progressive cumulative calculation (VCR).

Advantages

• More payroll tax credit per quarter.
• Less or no deduction from wages.
• No need to file an income tax return if full settlement is made.

Termination

The scheme can only be stopped per new quarter, with a written request from the employee.

More information and the required form are available from the Tax Authorities and the Wage Tax Handbook.