The Dutch Data Protection Authority is investigating the way in which the Tax Authorities detect fraud with childcare allowance. According to Trouw and RTL, the tax authorities keep track of the second nationality of applicants for benefits. The childcare allowance would in some cases have been stopped on the basis of the second nationality of an applicant.

Ethnic background or nationality do not play a role in the Tax Authorities when someone is suspected of committing fraud, says the Ministry of Finance in response to reports from RTL and Trouw about ethnic profiling at the tax authorities. Investigation would only have been carried out following indications that there might have been abuse. In order to be able to decide on a benefit application, nationality and residence permit are used according to the Ministry as stated in the Personal Records Database.

In 2016, a childminder agency from Eindhoven discovered that an employee of the tax authorities kept track of the second nationality of people. At a daycare in Almere, half of the parents, all with a non-Dutch background, suddenly withdrew the allowance.

The Dutch Data Protection Authority will let you know on Monday that no substantive announcements will be made as long as the investigation is ongoing. In 2014, after large-scale fraud by Bulgarians, the tax authorities stopped payments on a massive scale.

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