Car, casino tax changes under fire

Cabinet plans to reform parts of the tax system and change tax rates are coming under fire from all sectors of industry and society ahead of Monday’s parliamentary debate.

Tax minister Jan Kees de Jager is due to outline the proposals to MPs but is likely to face a rough ride, various media report.
On Friday, Holland Casino, the state-owned gambling monopoly holder, warned that it could be in severe financial trouble if the cabinet goes ahead and hikes the tax on fruit machines from 16% to over 40%. Ministers want the extra cash to pay for free school text books.
Plastic surgeons and private health clinics are up in arms about plans to extend btw not only to cosmetic surgery but to laser eye treatment. They say prices will rise 20%, forcing more clients abroad.
The lease car sector is also threating the cabinet with legal action if it goes ahead with a proposal to slash the tax on new cars.
The lease car association says the move will make new cars relatively cheaper than the thousands of second hand lease cars that its members sell off every year. In total, damages could reach €540m, putting some companies out of business, it claims.
Motorists, however, are furious at the government’s decision to put up road tax – some 55,000 people have signed a petition against the plan.
Tax advisors are also criticial of changes to deductions allowed when calculating corporate taxes, saying they will further damage the Dutch investment climate.

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