This week there was important news in the media that could also affect child benefits for children living in Thailand. A judge in Amsterdam ruled that the 40% reduction in child benefit, which also applies to Thailand, is unlawful in some specific situations.

Country of residence principle

Since January 2013, the amount of child benefit for children outside the EU has been adjusted to the purchasing power in the country concerned. According to this so-called country of residence principle, the benefit for children in, for example, Morocco, Turkey, Egypt, but also Thailand, is 60 percent of the Dutch level.

illegal

Some parents from Morocco, Turkey and Egypt did not agree with the discount and asked for a court ruling. This came to a remarkable conclusion. The child benefit that goes to Morocco may not be reduced due to agreements between the Netherlands and Morocco. However, not all parents were right. There are no agreements on child benefit with Turkey, so it may be reduced there, the judge ruled. In all cases, the Turkish parents live in Turkey. The Egyptian couple lives in the Netherlands. In their case, the court ruled that the child benefit may not be reduced, because the compulsory maintenance contribution is not reduced either.

Minister Asscher of Social Affairs and Employment will probably appeal, but he wants to study the ruling first. If he follows the judge, this means that the government will have to pay out 5 million euros more than originally assumed.

To object

If you live in the Netherlands but have children in Thailand and receive or apply for child benefit for this and you are reduced according to the country of residence principle, it may be useful to object to this. As it looks like, you can then assert your rights as determined for the Egyptian couple because the mandatory maintenance contribution for children will not be reduced either.

If the Dutch state appeals to a higher court and it also decides that the country of residence principle is unlawful, the date of your objection may be a determining factor in what you will receive in return. For a notice of objection to the Social Insurance Bank, you can engage a lawyer or a lawyer. If you have legal assistance insurance, activate it.

9 responses to “Thailand child benefit principle of residence may be unlawful”

  1. John Dekker says up

    If someone is now disadvantaged by this action by the Dutch government and has difficulty drawing up an objection, please contact me.
    I am a tax lawyer and know the tricks of the trade. My email address is listed twice on this blog.

  2. noel castille says up

    Moderator: Such comments are against our House Rules.

  3. Simon Borger says up

    I do not receive child benefit. I have been deregistered in the Netherlands. Different rules apply to me, I was told 8 years ago. They had sent me a letter, I had to answer within 6 weeks, but I was in Thailand. Later I was asked how or what. The answer was go I couldn't find the ombuds man, too bad, but it is true.

    • John Dekker says up

      Simon that's a nonsense answer.
      You can only go to the ombudsman if you have completely exhausted all legal remedies through the normal channels. So if possible, objection, appeal, appeal and finally in cassation to the Supreme Court.

      A few years ago I called in the ombudsman because the UWV did not give a sensible answer to my question why the benefit was paid in US dollars. Because of Bank of America's clever exchange trick, I lost between XNUMX and XNUMX percent of my benefits to bills and bank charges. Now it just happens in Euros. There was no further possibility of appeal against the decisions of the UWV, so the possibility to call in and with success!

      The ombudsman's address is:

      http://www.nationaleombudsman.nl/

  4. Caro says up

    My two minor children attend an international school here, ad 20000 euros per year each.
    My wife lives in the Netherlands. Our child benefit has almost been cut in half. I'd like to appeal, if that helps. What should I write, and to whom? Please email Jan dekker.

    • Chris says up

      It was on the news here in Holland yesterday. Some parents from Turkey or Morocco had objected to the reduction of child benefit because they live/grow up in cheaper circumstances. The children therefore reside in the home country.
      Ruling: The Netherlands may not reduce child benefit payments for people living outside the Netherlands. I don't know if this also applies to you. But it certainly creates a legal basis for objection.

  5. Rob V says up

    Clon, when I look on the SVB site under Child benefit > Living or working outside the Netherlands ( http://www.svb.nl/int/nl/kinderbijslag/sitemap.jsp ) then it really does not show that the tap is turned off on the basis of country of birth or nationality. It concerns the country of residence (of the parents). It says that if the whole family goes to live outside the Netherlands, you will in principle no longer receive child benefit, whether you are a native or an immigrant. Following the court ruling, the exception seems to be Morocco, if you are going to live in that country with your entire family, you may not be cut due to treaties/agreements between NL and Morocco.

    In other countries where you may be eligible for child benefit (Turkey, Thailand, etc.) you can receive child benefit if 1 or both parents live in the Netherlands and the child therefore lives in that country. This benefit was reduced by 40% (60% payout). According to the judge, this should also not be allowed because full premiums have been paid. The SVB (ministry) will probably change tack - the state will then not object - as it did previously with the ruling on the AOW discount and will therefore (have to) reverse the discount. But that remains to be seen. In the meantime, it might be wise to object to the 40% reduction in child benefit.

    Personally, I think the whole allowances and assessments system just pumps money around unnecessarily and is therefore more susceptible to fraud. For example, I would prefer to see child benefit incorporated into a direct tax discount or similar measure to keep everything affordable for children who go to school in the Netherlands. Ditto with health care benefits, etc. That should be more convenient and less susceptible to fraud. Surviving benefits will also be outdated in a few years, I thought (only widows and widowers of deceased people who were born before the age of 19 are eligible for this?) so absurd situations as Nieuwsuur fewbruari 2013 depicted ( http://nieuwsuur.nl/onderwerp/475512-uitkeringen-marokko-flink-gekort.html ) should also be an expiring case. The rest of the AOW, they should just keep their hands off of that, just set a standard without discounts or bonuses. You have paid for years, depending on the contribution you simply have to be paid for it, wherever you live in the world. With the necessary revisions to tax legislation and benefits, the entire Residence Principle Act should simply be made redundant.

  6. John Dekker says up

    The SVB now applies the situs principle (country of residence principle) as it applies to income tax. However, this was rejected by the Supreme Court in early 2013.

    “The Central Council has also rightly assumed that in answering the question referred to in 3.1, all relevant circumstances of the case must be taken into account and that what matters is whether these circumstances are of such a nature that a lasting bond of personal nature exists between the interested party and the Netherlands (see HR 21 January 2011, no. 10/00563, LJN BP1466, BNB 2011/98, and HR 4 March 2011, no. 10/04026, LJN BP6285, BNB 2011/127). In view of those judgments, the Central Council has also rightly assumed that the lasting bond with the Netherlands need not be stronger than the bond with any other country, so that for a place of residence in this country it is not necessary for the center of someone's social life to be in the Netherlands. located. The same applies to the highly comparable criterion of the center of someone's personal vital interests used by the SVB in its policy rules. As a result, there is the possibility that someone lives in the Netherlands as well as in another country within the meaning of Article 3 of the AKW, although this will only occur in exceptional cases.”

    The SVB writes more things on its site that are not in line with judges' decisions.

  7. Hank Udon says up

    Hi John Dekker,

    I have tried to find your email address on the blog, but unfortunately I did not succeed.
    Would you like to pass it on to me?
    You can also email me directly at [email protected].

    thank you in advance,
    Henk


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