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Rising Costs of Hiring External Teachers in Secondary Schools Due to VAT Exemption

  • Hiring external teachers through agencies costs schools almost twice as much as hiring teachers directly
  • The main extra cost is the 21% VAT that external agencies charge, which schools cannot reclaim due to education being exempt from VAT
  • Despite the higher costs, the hiring of external teachers has increased significantly in recent years
  • School boards rarely negotiate prices for external teachers, accepting the rates proposed by agencies
  • The study is based on data from 84% of school boards in secondary education
  • Education Minister Mariëlle Paul understands the need for hiring external teachers temporarily, but believes having permanent teachers should be the priority
  • She aims to reduce external hiring and make working in-house more attractive.

Source: taxlive.nl

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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