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tampering with energy tax on greenhouse horticulture

Dutch left wing parties continue to fight fossil subsidies

Politicians in The Hague are busy preparing the 2025 Tax Plan before the end of this year. Part of that plan is tax increases for greenhouse horticulture. Almost a year ago, the Lower and Upper Houses passed a law for this purpose.

An amendment from GroenLinks/PvdA to abolish 'fossil subsidies' from 1 January 2025 recently fell far short of passing. The 'fossil subsidies' include the reduced energy tax rate for greenhouse horticulture. That rate will be phased out towards 2035, but the left-wing parties wanted to stop it altogether by 1 January anyway.

CO2 tax
There is haste involved in finalizing the tax plans. Preparation for implementation has already started, without the Senate having already adopted the Tax Plan 2025. The Lower House adopted the plan on 14 November.

Voting in the Senate is scheduled for 17 December. Should the Senate not adopt the plan, it will have "substantial consequences" warns the state secretary of finance.

In any case, it is clear that if the Senate does not adopt the Tax Plan 2025, the CO2 levy for greenhouse horticulture cannot be implemented by the Tax Authorities as of 1 January 2025, because the legal basis is lacking.