Co-parenting and child benefit
Child benefit is a government allowance for parents of a child or children under the age of 18. The SVB (Sociale Verzekeringsbank) pays the child benefit to the parent the child is registered with at the City Hall. With multiple children parents can choose to register children with different parents in order to both receive the benefit.
In case of a single child and co-parenting the child benefit can be equally divided between both parents. However when there's no co-parenting agreement only the parent which shares the same adress as his or her child is eligible for child benefit.
Co-parenting and child dependent budget
Child dependent budget is paid by the Dutch tax authorities. It is one of the government income-related allowances next to healthcare allowance, rent allowance and childcare allowance.
In order to receive child dependent budget two criteria have to be met. One being a parent of a child under the age of 18 years old. And second receiving child benefit for this particular child.In certain cases the child benefit cease to exist of the age of 16 years. If however the co-parent pays at least 30% of the cost of living of the child in question the eligiblity to child dependent budget remains.
The amount of child dependent budget depends on ones income, persons in the household, capital and the age of the children. If for example the capital of a co-parent exceeds € 114.776,00 the right to child dependent benefit is forfeited. It is important to adjust the amount of benefit if any changes occur in the above mentioned criteria / requirements.
Co-parenting and childcare allowance
Co-parents can be both eligible for childcare allowance. It is important however to inform the Dutch Tax authorities in writing of the existing co-partnership.
Co-parenting and the income dependent combination rebate (IDCR)
A co-parent is entitled to IDCR if he or she earns at least € 4.993,00 as an employee or entrepreneur. And during 6 months of the year a child was registered at the same adress and belonged to the household. In addition to this the child had not yet reached the age of 12 years old on the 1st of january. The height of the rebate is 11,45% of the income.
The most common problem to occur with the income dependent combination rebate (IDCR)
A child can only be registered at one adress. As this is one of the requirements to receive IDCR a problem arises. Which co-parent registers the child officially at his or her adress?
Two co-parents in a similar situation went to court in 2016. The child in question spent a equal amount of time with both co-parents yet only one of them received the IDCR. The court ruled in their favour and decided both of them where eligible. Since then this exception is part of Dutch tax law. Feel free to contact us if you think the IDCR is wrongfully not been taken into account in your situation. We can formally object and know how communicate with the Dutch tax authorities.
