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Evaluation of Abolishing Reduced VAT Rate on Accommodation Scheduled for 2028

  • The evaluation of the abolition of the reduced VAT rate on accommodation will take place in 2028.
  • The VAT increase on accommodation is part of the 2025 Tax Plan and ends a long-standing fiscal benefit for the sector.
  • The additional €1.1 billion in tax revenue will be used to finance a broad purchasing power package.
  • The reduced VAT rate for accommodation does not meet the criteria for fiscal arrangements, lacks a clear objective, and is not considered an effective tool for supporting low-income groups or increasing the consumption of merit goods.

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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