Tax on travel expenses, slow student fine set to disappear
Monday 01 October 2012
Plans by the outgoing government to charge higher fees to students who take too long to complete their degrees and to tax home-to-work travel expenses are set to disappear if a Liberal-Labour coalition becomes a reality.
Sources close to the on-going talks between the VVD and PvdA suggest a proposal to drop the commuter tax plans will be submitted to parliament this week.
Many workers get a tax-free allowance from their employers to cover the cost of getting to work. But last month's budget included plans to tax this perk, which will cost some commuters up to €80 a month.
Slow students
The Telegraaf reports on Monday the two parties have also agreed to abolish the extra €3,000 a year in fees the government plans to charge students who take more than four years to complete a basic degree.
The fine was due to raise €370m for the treasury. Instead, the new government plans to scrap all student grants and replace them by loans, the paper says. Students who live away from home get a basic grant of some €260 a month.
There is majority support for scrapping the commuter tax and the slow student fine in parliament.
Do you agree with scrapping either or both measures? Have your say using the comment form below.
© DutchNews.nl
|
OV annual free travel card costs Euro434 or Euro695 per month. If people get a free travel card for living a long distance from work, people who chose to relocate close to their workplace should be given an equivalent amount free to subsidise their mortgage/rent. Fair is Fair. Forget about taxing it, just remove it altogether.
By jaycee | 1 October 2012 8:16 AMThe cost of travel here is very expensive. I think it is important to incentivise public transportation if and when possible and give that tax-free allowance. However, I don't agree to let students off the hook about paying back loans in a timely manner. They need to learn about fiscal responsibility at a young age.
By M | 1 October 2012 8:41 AMThe cost of travel here is very expensive. I think it is important to incentivise public transportation if and when possible and give that tax-free allowance. However, I don't agree to let students off the hook about paying back loans in a timely manner. They need to learn about fiscal responsibility at a young age.
By M | 1 October 2012 8:42 AMAt last, some sanity prevails! going ahead with taxing the home-to-work travel expenses would have a far-reaching domino effect on employment mobility and the auto industry. Smart move!
By kalajutu | 1 October 2012 9:23 AMThere are many factors which can influence the completion of a student's basic 4-year degree. Given the economic situation, if there is any (higher) fine for not being able to complete in 4 years could be drastic towards their career and life. As a pro-education and knowledge based economy nation/region, it is an adorable and welcome move to scrap the slow-student fee.
By Kal | 1 October 2012 9:59 AMI am not in favour of scrapping the slow student fine, but then, if the benefits and grants will be reorganized, probably the effect on slow, unmotivated, unprepared students will be the same and they'll eventually drop the courses.
By joanna | 1 October 2012 10:20 AMGreat!
By Thomas | 1 October 2012 1:38 PM