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Jesse Klaver (Picture: Wikimedia Commons/Christiaan Krouwels) - Credit: Jesse Klaver (Picture: Wikimedia Commons/Christiaan Krouwels)
Business
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Jesse Klaver
sales tax
sales tax increase
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value added tax
VAT
Monday, 22 June 2015 - 07:56

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GroenLinks against sales tax increase

GroenLinks is against the part of the Cabinet's tax reform plan that would increase the value added tax from 6 percent to 21 percent. This means that the plan may not get the necessary support in the Senate. Party leader Jesse Klaver calls the VAT increase a "blunt measure with many unwanted effects", RTL Nieuws reports. He wants to pay for the tax reform by tackling tax evasion by multinationals and increasing the taxes on environmental enhancement. He also thinks that some of the proceeds from the revision in tax cuts should be used to improve the purchasing power of benefit recipients and go to public services such as home care. For 2 billion euros Klaver wants to make energy tax more sustainable and increase the taxes on freight, meat, and building on open space. He also wants business owners to pay more and tackle tax evasion by large companies. According to him, this should bring in 1 billion euros. "GroenLinks wants a fundamental reform of the tax system. We are not at the table to increase VAT, but because we want to tackle climate change, want to reduce inequality and to help people find a job", Klaver said.

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