False self-employment and the DBA Act: what does it mean for you?
Written by Ilias Aarrass7 min read · Published on · Last reviewed on 
In short
The Dutch tax authorities have been enforcing false self-employment fully again since 1 January 2025; in 2026 misconduct penalties for intent can follow, while default penalties are not yet imposed.
- The test follows the Deliveroo criteria: direction, embedding, substitution, business risk and entrepreneurial conduct, weighed together.
- Assessments generally reach back to 1 January 2025, and up to five years with willfulness or after ignoring a directive.
- The payroll tax assessment lands with the client; the freelancer can lose the entrepreneur's deduction on that engagement.
- The risk is highest in sectors where freelancers rotate long-term in one organisation's schedule, such as healthcare, education, security and childcare.
False self-employment is a topic many self-employed people deal with, especially now that the tax authorities have been enforcing it fully again since 2025. It means you're formally self-employed, but actually work like an employee. That can have unpleasant consequences for you and your client. This article explains what it is and how to prevent it.
What is false self-employment?
False self-employment means you're an independent entrepreneur on paper, but in practice work like an employee. For example if you work long-term for one client, have fixed working hours, and are under authority like an employee. The tax authorities can then see such a relationship as a disguised employment.
What changed from 2025
The enforcement moratorium ended on 1 January 2025: since then the tax authorities enforce fully again. What 2026 adds is that misconduct penalties can follow where there is intent; default penalties are not yet imposed this year. Both you and your client can face additional assessments and corrections if a false construction is found. So it's more important than ever to work demonstrably independently.
How do you prevent false self-employment?
You show you're truly an entrepreneur by having multiple clients, setting your own rates, and arranging your work independently without an authority relationship. Record agreements with your client clearly, for example in a contract of assignment. What belongs in it is set out in drawing up a contract for services. The more you distinguish yourself from an employee, the stronger your position.
What are the consequences if it goes wrong?
If your working relationship is seen as employment, your client may have to pay payroll taxes that weren't withheld, with additional assessments and penalties. For you it can mean you lose your entrepreneur's deduction. If in doubt about an assignment, have the construction assessed in advance to prevent surprises. There is also new legislation for low rates: see the legal presumption at a low hourly rate.
What the test now turns on
Since 1 January 2025 the tax authorities enforce fully again. The test follows the Deliveroo criteria: not one decisive feature, but the whole picture of how work is actually done.
- Direction: does the client decide how, where and when you work?
- Embedding: is the work a fixed part of the organisation, among employees doing the same?
- Substitution: may you send someone else, or must you do it personally?
- Business risk: do you bear the risk of errors, non-payment and idle time?
- Entrepreneurial conduct: several clients, own investments, own rate, outward visibility.
The sectors where it plays out most
False self-employment is not an abstract risk pressing equally everywhere. It plays out mostly where freelancers rotate long-term in one organisation's schedule, among employees doing the same work: healthcare, education, security, childcare and delivery. If you work in such a sector, chances are your clients have already tightened their hiring policy or are about to.
If instead you work for many different clients on defined jobs at your own rate, like most construction workers, designers and developers, the risk is markedly smaller. Even then, recording your agreements properly remains wise.
Risky assignment? These are your options
If you recognise your own situation in the criteria above, you need not walk away at once. There are four routes, in ascending order of impact.
- Restructure the assignment: agree a result with an end date instead of ongoing hours, work more often at your own location with your own tools, and record it as described in model agreements and the DBA Act.
- Spread your revenue: one client filling nearly all your hours is the biggest red flag. Deliberately build a second and third client alongside.
- Discuss it with your client: their interest is the same, since the assessment lands with them. Adjusting the arrangements together is often quickly done.
- If the work is effectively a job you want to keep, consider going partly employed for that client and keeping your business alongside for your other clients.
What the test turns on
Whether your assignment holds up depends on how you actually work, not on what the contract says. These are the points the tax authorities look at.
| Point | Points to self-employment | Points to employment |
|---|---|---|
| Authority | You decide how the work gets done | You receive instructions like an employee |
| Embedding | You do work outside the core activity | You are part of the regular team and rota |
| Entrepreneurship | Multiple clients, own equipment, own risk | One client, their equipment, no risk |
| Substitution | You may send a replacement | The work must be done by you personally |
| Remuneration | A rate that covers entrepreneurial risk | An hourly rate around a collective wage |
Frequently asked questions
What exactly is false self-employment?
Working as a freelancer while the relationship is effectively employment: authority, personal labour and wages. However independent the contract sounds, practice counts.
Is there enforcement in 2026?
Yes, fully since 1 January 2025. In 2026 assessments follow, retroactive to that date; default penalties are still withheld this year, misconduct penalties for intent are not.
Who gets the bill on a finding?
The client: they should have withheld payroll taxes. The freelancer can lose the self-employed deduction on that engagement, and clients grow warier of hiring.
How do I test my own engagement?
Walk through the Deliveroo criteria: direction, embedding, substitution, risk and entrepreneurial conduct. Scoring as an employee on most points means restructuring the engagement.
Does a high hourly rate protect against it?
It is one circumstance in the mix, not a licence. A high rate with full embedding and authority remains employment; the whole picture decides.
What can I practically do to stay independent?
Several clients at once, result-based agreements instead of rosters, own equipment and rate, substitution recorded and used, and bearing liability for your own errors. See also hiring a freelancer or employing.
Sources
- Enforcement on employment relationships: full since 1 January 2025Belastingdienst · belastingdienst.nl
Sources checked on
This article provides general information based on the rules known for 2026 and does not replace personal tax advice. For your specific situation, we're happy to take a look with you.
