Local taxes increasing by 2.8 percent

  • Refuse collection rates virtually unchanged
  • Sewage charges not rising as fast
  • Duties on building permits yield less
  • Households pay most of the water tax increase

In 2011 the local governments expect to receive 11.8 billion euro in local taxes. This is 2.8 percent more than in 2010, as figures by Statistics Netherlands show. These figures are published on the basis of local government budgets.

The municipal taxes are expected to yield 2.6 percent more in 2011. They will exceed 8 billion euro for the first time ever. The main tax of the municipalities, property tax (OZB), is expected to yield 3.4 percent more this year than last. 

The yield of the refuse collection rates will remain virtually unchanged. Many municipalities were able to save on costs for refuse collection and processing. The cost savings are shown in the refuse collection rates.

The sewage charges are expected to yield 3.8 percent more this year. Last year the increase was 4.7 percent. The yields have been increasing less each year since 2007. This is because more municipalities almost completely recover the costs of the sewage system through their sewage charges.

The municipalities expect a drop in revenues of 1.7 percent from duties on building permits. Like last year the revenues will be down mainly because of the economic crisis.

The provinces budget 1.9 percent more in surcharges on motor vehicle tax. This is the smallest increase since 1995.

The total yields of water taxes in 2011 will be over 2.3 billion euro. This is 3.6 percent more than in 2010. Households will pay most of the increase.

In tax on the water system (to construct and maintain dikes, water ways, and watercourses etc) residents pay 26 million (6.3 percent) more than in 2010. Households will have to pay some 30 million of the increase in water purification costs.