Free as a bird? New law for freelancers goes into consultation

The Dutch government has proposed a new law, the Zelfstandigenwet, to provide more clarity and stability for freelancers and self-employed individuals. Employment Minister Thierry Aartsen believes the law will bring "peace and clarity" to the freelance community. However, the proposed law is currently under consultation until October 29.

The new law will replace the current system of freelancers obtaining a special document from the tax office and instead require freelancers to pass a series of tests. These tests will include registering with the Chamber of Commerce, obtaining a VAT number and a business bank account, and having worked for at least three different clients over a two-year period. Freelancers may need to maintain a financial buffer, insurance, and pension savings, and demonstrate their independence in working hours and financial risks.

Blue Umbrella, a tax advisory service, recommends that freelancers create a portfolio showcasing their clients and past work to build trust with potential customers. The consultation is part of a broader effort to reduce "fake freelancing" following pressure from unions and the European Commission. The Dutch self-employed workforce has already declined due to the crackdown on sham self-employment, falling from nearly 1.3 million in 2024 to 131,000 fewer freelancers by mid-2026.

While some clients have closed their businesses due to the proposed changes, tax advisers caution against panic. They stress the importance of being cautious with finances and considering extra investments in the face of uncertainties regarding the future of self-employment in the Netherlands. Despite the changes, the proposed law aims to help individuals prove their genuine self-employment status in the future.