Dutch PM favours flat rate tax
Prime Minister Jan Peter Balkenende and Social Affairs Minister Piet Hein Donner prefer a flat tax rate of 37 percent for all incomes over the current system.25 November 2008
THE NETHERLANDS – Dutch Prime Minister Jan Peter Balkenende and Social Affairs Minister Piet Hein Donner favour a proposal to introduce a flat rate tax in the Netherlands.
On Monday, the Christian Democrats' Scientific Council issued a report calling for a tax rate of 37 percent for all incomes. The report says this would be more efficient and less expensive than the current system with three tariffs. Home owners would also receive the same mortgage rebate.
At present, the higher incomes receive a higher rebate.
The conservative VVD party called for a flat tax during the last election campaign. The flat rate tax has been introduced in Russia and several other Eastern European countries.
[Radio Netherlands / Expatica]