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Van Oostenbruggen Seeks Alternative to VAT Increase on Sports and Culture

  • To find an alternative to the higher VAT rate on sports and culture, both the parliament and the cabinet need to show an open attitude
  • State Secretary Tjebbe van Oostenbruggen is exploring ways to maintain the lower VAT rate for gyms, museum tickets, and theater visits, which must be funded from VAT revenues
  • Difficult decisions are required as there is no easy solution in VAT adjustments given the significant budgetary challenge of finding approximately 1.2 billion euros
  • The plan suggests eliminating complex exceptions to the standard VAT rate to generate sufficient tax revenue to support the lower rate for sports and culture
  • An agreement with Christian opposition parties CDA, ChristenUnie, and SGP ensured enough parliamentary support for the tax plan, despite opposition to the VAT measure
  • CDA member Inge van Dijk proposed using the extensive VAT manual, which includes numerous exceptions like those in healthcare, to fund the cancellation of the measure
  • The specifics of how to implement this are still under discussion between the cabinet and parliament
  • Van Oostenbruggen will complete his investigation by the end of January and will then present his findings to the parliament

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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