Dutch political parties reached an agreement on the budget of 2013. As a result, the Ministry of Finance presented a legislative proposal to the Dutch parliament. This proposal contains the tax measures from the aforementioned deal. These measures will have the following Indirect Tax implications:
- The standard VAT rate will increase effective 1 October 2012. This increase will be partly compensated by lower income and payroll taxes, higher healthcare and child benefits, particularly for low-income households.
- For performing arts and art objects the increased VAT rate will be reversed to 6 percent as at 1 July 2012. With regard to performing arts the following services are considered to be performing arts: providing access to music and theatrical performances (e.g. operettas, dance, musicals and lectures) and the performances by performing artists. Objects of arts are considered to be the following: import or supply of art objects and objects as collector's item and antiques.
- Following case law from the Court of Justice of the European Union, the exemption for medical services will be amended. Some of the services which are currently exempt, will be charged with Dutch VAT, as of 1 January 2013. This involves medical services provided by certain professionals who are mentioned in the Individual Healthcare Professions Act (e.g. chiropractors, pedagogues, alternative medicine doctors and physical therapist who perform complementary services such as acupuncture and osteopathy)
- The taxes on soft drinks will still exist in 2013. Initially, the consumption on soft drinks would be repealed as of 1 January 2013.
- The excise duties on alcohol will be increased. With regard to the excise duty for beer the increase will be 10 percent, for wine 15 percent and for other alcohol products 6 percent.
- The excise duties on tobacco as well as the tariff structure will be amended.