Cabinet says yes to €49 season ticket, lower tax for lorries

Plans to compensate households and small firms for higher energy prices have won broad support in parliament, including the GroenLinks-PvdA suggestion of a cheap temporary train ticket.
Prime minister Rob Jetten told MPs during Wednesday’s debate that the GroenLinks-PvdA plan for a €49, off-peak three-month season ticket could count on his backing. “We aim to introduce this before the summer,” Jetten told MPs.
People who need to travel by train during peak periods will be able to claim 25 cents per kilometre in tax-free travel expenses, compared with the current 23 cents – although this increase will be paid by employers. This is one of the measures outlined by the cabinet earlier this week.
The cabinet also agreed to suggestions from several parties, including coalition partner VVD, to lower the kilometre tax currently paid by the logistics sector, which has been hit hard by rising fuel prices. The size of the cut still has to be calculated.
Some party suggestions did not make the list. The cabinet is not in favour of cutting fuel taxes, saying this would be both expensive and not targeted at those who need help most, a position backed by both the Dutch central bank and the CPB economic forecasting agency.
Calls for a windfall tax on energy firms were also rejected by ministers. Earlier this week it emerged that several energy firms are taking the state to court over the windfall taxes imposed on them following the Russian invasion of Ukraine.
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