- State Secretary Heijnen refuses to reverse or postpone VAT increase on accommodation from 9 to 21 percent despite opposition concerns about revenue losses and competitive disadvantages
- The measure will generate over 1.1 billion euros annually which is essential for the government’s purchasing power package according to Heijnen
- Border region businesses fear disadvantage compared to Belgium and Germany with lower VAT rates but Heijnen rejects exemptions citing fiscal neutrality principles
- Impact analysis shows small accommodation providers like bed and breakfasts and campings will be most affected by the tax increase
- Heijnen disputes opposition claims that higher prices will reduce tax revenues arguing demand decline will not offset VAT income gains
Source: fiscaalvanmorgen.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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