Taxes for Residents and Businesses
Value Added Tax (VAT)
The value added taxes system in the Netherlands corresponds with that currently used by all other EU-states. The following transactions are subject to VAT:
- The provision of goods and services by businesses within the Netherlands;
- Intra-community purchases of goods in the Netherlands in the course of business operations by entrepreneurs and corporations;
- Intra-community acquisitions of new means of transport;
- Imports of goods from outside the EU
The tax is levied on the sale price and the general rate is 19%. A lower rate of 6% applies for certain goods and services, such as food products, books, medicines, art, antiques, entry to museums, zoos, theatres and sports. Visible exports are zero-rated. A number of exemptions apply for special goods and services such as educational, medical and cultural services.
Valuation of Immovable Property Act This property tax payable is calculated based on the value of the dwelling or business. This value is determined according to the rules of the Valuation of Immovable Property Act.
Property tax Every owner of a dwelling or business and every tenant/user of a business premises pays property tax to the council.
Road tax Everyone who owns a car or other motor vehicle pays road tax (wegenbelasting). The amount of tax varies according to the size of vehicle. Heavier vehicles are taxed more than lighter ones and gas- or diesel-powered vehicles are taxed more than petrol-driven vehicles. A programme enabling you to estimate your road tax is available here (in Dutch).
Movable spaces tax Every owner of movable residential and business spaces (such as houseboats) and user/tenant of movable business spaces pays movable spaces tax.
Sewage charges All dwellings and business premises are connected to the sewage system, whether directly or indirectly. The owner pays sewage charges for the connection every year, even if the property is unoccupied. The method and amount of payment for this tax varies by municipality.
Inner harbour dues for pleasure cruising Anyone who takes a pleasure craft cruising through Amsterdam or occupies a berth will be charged inner harbour dues.
Dog license Every Amsterdam resident who has a dog is required to report the fact and pay for a dog license.
Waste disposal levy Every household in Amsterdam pays a waste disposal levy for household refuse pick-up and processing. The method and amount of payment varies by municipality (aprox. 150-350 euros per annum).
Taxes Only for Entrepreneurs
Commercial waste collection charges The commercial waste collection charges represent a levy to cover the cost of collecting and processing refuse from businesses. (aprox. 300-500 euros per annum)
Tourist tax Everyone who offers overnight accommodation within the city of Amsterdam in exchange for payment to people who do not live in Amsterdam must pay tourist tax.
Parking charges Every vehicle driver parking in the paid parking zones of Amsterdam must pay parking charges. (0.50 cent – 6 euros per hour, depending on district)
Precario tax Precario tax is a charge levied locally for the use of public council land or the space above public council land.
Entertainment tax Everyone who offers amusement, diversion, relaxation or entertainment on the water in exchange for payment is required to help pay for the maintenance of the city of Amsterdam.
Advertising dues Public announcements visible from public roads are subject to advertising dues.
Though not an actual tax, health insurance in the Netherlands might as well be. It is a legal requirement that all residents have health insurance and it does not come cheap (See Health Insurance), most normal policies cost in the region of €100 per month.