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Letter from entrepreneurs to municipality regarding tourist tax hike: "Many negative consequences"

Letter from entrepreneurs to municipality regarding tourist tax hike: "Many negative consequences"

Business leaders in Amsterdam are urging the city council to reconsider planned tourist tax hikes, warning that they will lead to the world's highest rates. When combined with a national VAT increase, they fear these measures will harm the hospitality and cultural sectors by driving away major events and reducing tourist spending.

Business leaders from the cultural, hospitality, and event sectors have formally petitioned the Amsterdam city council regarding planned increases to the tourist tax. While currently set at 12.5 percent, the tax is slated to rise to 16 percent next year and reach 20 percent by 2031, which would make it the highest in the world. Signatories, including prominent figures like Gunay Uslu and Won Yip, argue that these hikes, combined with a national VAT increase on hotel stays from 9 to 21 percent, will bring total taxation to 41 percent. They fear this will drive tourists to stay outside the city while limiting their overall spending, ultimately threatening local employment and economic viability.

The group warns that these financial pressures will cause a chain reaction, leading international organizers to select other cities for conferences and events. Once such business is lost, they argue, it is difficult to recover. Consequently, the entrepreneurs are requesting that the council conduct an independent impact study and suspend the scheduled tax increases until the full economic consequences are better understood.

Based on reporting by rss. Translated and condensed by LocalHeadlines.

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