Netherlands Proposes Raising VAT on Ornamental Horticulture from 9% to 21%

• The Netherlands’ 2027 Tax Plan proposes moving ornamental horticulture products from the reduced 9% VAT rate to the standard 21% rate.
• The proposed VAT-rate increase would apply from 2028, rather than from the general 1 January 2027 commencement date applicable to many other measures in the package.
• The proposal forms part of the annual Tax Plan package presented on 15 September 2026 and must still complete the Dutch parliamentary process.

Extended article

The Dutch government presented its 2027 Tax Plan package on 15 September 2026, including a proposed VAT-rate increase for ornamental horticulture.

Under the proposal, the VAT rate applicable to ornamental horticulture products, referred to in Dutch as sierteelt, would rise from the reduced rate of 9% to the standard rate of 21% from 2028.

The mailbox source identifies the rate change but does not provide a detailed product-by-product scope. Businesses should therefore verify the exact statutory definitions and any exclusions in the proposed legislation before determining which flowers, plants, bulbs, trees or related supplies would be affected.

The change would be relevant to growers, wholesalers, retailers, garden centres, online sellers and other businesses supplying goods currently falling within the reduced-rate category. It may require changes to tax codes, product classifications, pricing, contracts, point-of-sale systems and electronic-invoice determination.

The Tax Plan contains proposed measures rather than enacted law. The final rate, commencement date and scope remain subject to parliamentary approval.

External links

• Access the official Dutch 2027 Tax Plan documents