Algorithm Ex officio refund of healthcare insurance contributions

Dutch Tax and Customs Administration

This page contains information about the algorithm 'Ex officio refund of contributions under the Health Insurance Act (select target group)'. This algorithm provides a selection of people who may be eligible for a refund of the Healthcare Insurance Act contribution.

Last change on 2nd of July 2025, at 11:01 (CET) | Publication Standard 1.0

• Publication category: Impactful algorithms
• Impact assessment: Field not filled in.
• Status: In use

General information

Theme

Public finance

Begin date

Field not filled in.

Contact information

[e-mail]

Link to publication website

https://over-ons.belastingdienst.nl/onderwerpen/omgaan-met-gegevens/algoritmeregister/

Link to source registration

https://over-ons.belastingdienst.nl/onderwerpen/omgaan-met-gegevens/algoritmeregister/algoritme-ambtshalve-teruggave-bijdrage-zorgverzekeringswet/

Responsible use

Goal and impact

The Tax Authority checks withholding agents for correct and complete declaration and payment of payroll taxes. Payroll taxes consist of wage tax, national insurance contributions, employee insurance contributions and the income-related Healthcare Insurance Act contribution. Withholding agents (such as an employer, pension fund or benefits agency) deduct the wage tax and national insurance contributions from their employee's pay; and in some cases the income-related healthcare insurance contribution. They remit this to the tax authorities. The employee insurance contributions and usually the income-dependent healthcare insurance contribution are not deducted from the employee's wage, but are remitted by the withholding agent (employer) itself to the Tax Office.

The employer or benefit agency pays the income-related Healthcare Insurance Act contribution to the Tax Administration. This contribution is a contribution that the employer or benefit agency pays - in addition to the premium to the health insurer - for the health insurance fund. The higher the income, the higher the contribution.

The algorithm helps select individuals who receive income from more than 1 employer. And who may pay more health insurance fund contribution on an annual basis than the legal maximum.

Considerations

Selecting the target group is important to avoid citizens paying too much income-dependent Health Insurance Act contribution. We want to do this carefully. The algorithm can support a Tax Administration employee in this. As a result, the assessment is more careful, efficient and uniform.

Human intervention

Human intervention in the Tax Administration context implies that a competent and knowledgeable employee plays a substantial role in decision-making.

The operation of the algorithm always involves human intervention. The algorithm detects and selects. It is the Tax Administration employee who makes the decision.

Risk management

The General Administrative Law Act (Awb) requires the government's actions to be transparent and lawful. The Tax Administration observes the general principles of good governance when applying and developing algorithms.

The algorithm uses data collected under various tax laws. As required by the AVG, no more data is used than necessary.

The selection rules are reviewed periodically and adjusted if necessary to remain compliant with laws and regulations.

Legal basis

1. General Administrative Law Act:
2. General Data Protection Regulation:
3. Archives Act 1995:
4. General State Tax Act:
5. General Data Protection Regulation Implementation Act:
6. Health Insurance Act:

Links to legal bases

• Algemene wet bestuursrecht: : https://wetten.overheid.nl/BWBR0005537/
• Algemene verordening gegevensbescherming: : https://eur-lex.europa.eu/legal-content/NL/TXT/HTML/?uri=CELEX:32016R0679
• Archiefwet 1995: : https://wetten.overheid.nl/BWBR0007376/
• Algemene wet rijksbelasting:: https://wetten.overheid.nl/BWBR0002320/
• Uitvoeringswet Algemene verordening gegevensbescherming:: https://wetten.overheid.nl/BWBR0040940/
• Zorgverzekeringswet:: https://wetten.overheid.nl/BWBR0018450/

Elaboration on impact assessments

• Privacy and AVG

The use of data is tested against the General Data Protection Regulation (AVG). Reviewing personal data reveals any privacy risks and allows appropriate measures to be taken.

The AVG prescribes that no more data should be used than necessary. This is called data minimisation. The Tax Administration regularly examines whether the data used are still necessary and may therefore be used.

• Use of special personal data

No use of special personal data is made within this algorithm.

• Equality and non-discrimination

The algorithm is assessed in line with applicable non-discrimination principles for direct and indirect discrimination. Processing as little personal data as possible reduces the risk of direct discrimination. Employees involved in developing and managing the algorithms receive training on data protection and bias.

Operations

Data

• Identifying data (Social security number, LH number)
• Health insurance law data

Links to data sources

• Identificerende gegevens (Sofinummer, LH-nummer): Belastingdienst
• Zorgverzekeringswet gegevens: Belastingdienst

Technical design

The algorithm consists of selection rules created by content experts based on laws, regulations and expertise.

The algorithm is not self-learning. This means that the algorithm does not develop itself during its use.

External provider

The algorithm was developed by Tax Administration staff and is also maintained internally.