Parking fees, property tax increase boosting municipal revenue to €10.8 billion

Cars parked along an Amsterdam canal
Cars parked along an Amsterdam canalearlytwentiesDepositPhotosDeposit Photos

Municipalities in the Netherlands expect to receive 10.8 billion euros in municipal taxes this year, 6.3 percent more than in 2019, Statistics Netherlands reports based on the municipal budgets for 2020. Property tax is increasing nearly 5 percent this year, parking charges are up nearly 10 percent. But it is visitors who will be hit the hardest - tourist tax is increasing 40 percent this year. 

The budgeted revenue from property tax will increase this year by 4.7 percent to 4.3 billion euros - the largest increase in seven years. The increase has to do with the development of property values, new properties being built in municipalities, and changes to the property rates set by the city council, according to the stats office.

Municipalities expect to make more than a billion euros in parking charges this year, an increase of 9.6 percent compared to 2019. The biggest increase is happening in Amsterdam. The Dutch capital expects its revenue from parking charges to increase by 39 million euros to an estimated 321 million euros this year - almost a third of all municipal parking fees. Rotterdam and The Hague also expect a big increase in parking revenue this year, plus 13 million euros and 12 million euros respectively.

Cleaning rights and the waste levy will cost Netherlands residents 2 billion euros in 2020, an increase of 8.3 percent compared to last year .These taxes increased by 5.5 percent last year. According to the stats office, this is due to a sharp increase in waste processing costs. Sewage charges will increase 2.1 percent this year to 1.7 billion euros. That is in line with the average annual increase of 1.9 percent over the past five years. 

Not only residents, but visitors to the Netherlands can also expect to pay more taxes this year. Municipalities estimate to make 411 million euros in tourist tax this year, a massive 39.7 percent increase compared to 2019. Amsterdam accounts for 75 percent of the increase. The capital expects to raise 199 million euros in tourist tax this year - more than property tax (178 million euros) for the first time ever. This year, almost half of all tourist tax in the Netherlands will be collected in Amsterdam. 

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