Nearly 140,000 businesses have applied for NOW grants from the first aid package (NOW 1). These are small but also large companies. Minister Koolmees has drawn up an auditing protocol together with the Royal Dutch Accounting Association (NBA). The protocol takes into account differences between companies. Large companies that received large subsidies are given a comprehensive audit. Smaller companies are spared to avoid administrative burdens as much as possible. This translates into the following overview:
It is important for you to know that, as with many grants, the NOW grant process has two stages: grant award and grant determination.
When a grant is awarded, it is determined whether the applicant meets the requirements to receive a grant. Therefore, regulations are set out ie the applicant must comply with. then the money is transferred. This has the character of an advance.
Subsequent review of whether the grant money has been spent correctly and whether the grant requirements have been followed. The entitlement to subsidy is then finally determined. The decision on this is therefore the subsidy determination If a company has received a subsidy but does not obtain an unqualified auditor’s report when accounting for it, that company must take into account that the subsidy is nil. This means that there is no longer an entitlement to the grant. Amounts already received must be repaid.
Thus, the grant determination is an important decision that can have major implications for you and your business. Wille Donker has extensive experience in proceedings concerning government decisions. If you suspect that you are facing a negative decision, we can work with your accountant or bookkeeper to see how we can minimize your risk. You can contact our Government practice group.
This contribution was written by the Government Practice Group.
