Response to Request for Exemption from VAT Increase in Group Accommodations

• The letter is a response to a request regarding the transition from a low to high VAT rate in group accommodations
• The request is to exempt group accommodations from the VAT increase if contracts were signed before January 1, 2025
• The response states that the fiscal neutrality principle prevents treating similar services differently for VAT purposes
• Creating a new tax definition for group accommodations would be legally questionable and lead to administrative challenges
• The government does not see a reason to exempt only group accommodations from the VAT increase
• The letter also addresses doubts about the legal validity of the measure, stating that VAT is due when the service is provided, not when the contract is signed

Source: open.overheid.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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