Netherlands | Reduced VAT Rate Set to Rise to 9% as of 2019

The Dutch reduced rate of VAT is expected to rise to 9%, effective from 1st January 2019, as part of an overall  tax reform initiative, under the government’s coalition agreement. Currently, the reduced rate of VAT stands at 6%.

The reduced VAT rate applies to specified goods and services, listed in Table 1 to the Dutch VAT Law, including:

  • Food;
  • Books and periodicals; and
  • Accommodation services.

Enacted legislation on VAT rates, effective as of 1st January 2019, is expected to be released in December.