Bicycle scheme for commuter traffic (object 3)
Bicycle scheme for commuter traffic (object 3)
Conditions for taking part
The allowance for a bicycle used for travelling to and from work is subject to limitations. The tax authorities do not permit employers to give unlimited allowances to their employees. The tax exemption for the bicycle has been set at € 749.00. For bicycle accessories and services directly related to travel to and from work, the tax exemption has been set at € 82.00 a year and for at most 3 years. You do not have to submit any receipts for this item. On the application form for the bicycle scheme you can indicate at the "RESOURCES part c" if you want to participate with Avom for yearly € 82.00 in the next year and the year after by lowering your gross salary . This means that in the month January your gross salary will be reduced with € 82.00 and this amount will also be paid net to you with your salary of this month.
In addition there is also a tax exemption for insurance for a maximum of 3 years. If your bicycle or the accessories are more expensive than the permitted tax exemption, then you will have to pay the extra amount yourself. If you are taking part through the National Bicycle Projects (Nationale Fiets Projecten, NFP), then that amount will be deducted from your net salary. If you paid for the bicycle yourself, then you will only receive reimbursement up to the maximum allowed by the tax authorities. You can only make use of this scheme if you use the bicycle to travel to and from work (may also be part of the route) on more than half of your working days. That is why you are required to sign a declaration to this effect on the application form.
You can only make use of this scheme a maximum of once every 3 calendar years.
N.B.: Possible discount, for example in connection with the exchange of an old bicycle, should be settled by us. (If you receive € 100.00 discount on a bicycle of € 749.00 because of the exchange of your old one, the arrangement will be executed as of the new bicycle had cost € 649.00.)
Depending on your choice and after a positive assessment and after receiving the invoice and proof of payment, the employer will transfer the cost of purchase to your account along with your next salary.
FOM has reached an agreement with the National Bicycle Projects (Nationale Fiets Projecten, NFP), which makes it possible for you to purchase a bicycle using an NFP form. As an attachment you will find a brochure about NFP. The bill is then sent directly to FOM (amounts above the tax exemption limits stated above are automatically deducted from your next net salary). You are free to purchase your bicycle elsewhere, at another shop.
Maintenance and accessories: National Bicycle Vouchers
Maintenance and accessories only form part of the scheme if they directly serve the purpose of or relate to travel between home and work. Examples of accessories include extra locks, saddle bags, child's seat and rainwear. Examples of maintenance include repairs and regular servicing.
It is possible to purchase National Bicycle Vouchers (Nationale Fietsbonnen) for maintenance and accessories. This is only possible by completing the NFP bicycle form and only once you have purchased a bicycle. Fill in the NFP bicycle form for the amount of National Bicycle Vouchers you wish to purchase (up to a maximum of € 80.00 a year). National Bicycle Vouchers can be spent at all cycling shops which are affiliated to the National Bicycle Voucher scheme. Please note that you are not required to purchase your bicycle at a cycling shop that participates in the national voucher scheme.
Example:
The cost of purchasing a bicycle package of up to € 993.00 (€ 749.00 bicycle + € 82.00 accessories + € 162.00 insurance) is paid in advance by the employer. The employee pays off this advance by means of a reduction of his gross salary by € 41.38 for a period of 24 months. This means, for example, that € 417.06 less in income tax and social contributions will be deducted. The net salary is therefore reduced by € 993.00 - € 417.06 = € 575.94. The bicycle package therefore costs the employee € 575.94 instead of € 993.00.