University of Groningen: UG study: Residential taxes increase by 2.9% for owner-occupied households and by 1.5% for tenants
Municipal residential taxes in the largest municipalities will rise by 2.9% this year for owner- occupied households. The immovable property tax (ozb) will increase the most (by 3.5%), followed by sewerage charges (3.2%). For tenants, municipal residential taxes will rise by 1.5%. This is the conclusion of the report ‘Key Items Relating to Taxes in Large Municipalities 2022 (Kerngegevens belastingen grote gemeenten 2022)’, published by the University of Groningen’s Centre for Research on Local Government Economics (Centrum voor Onderzoek van de Economie van de Lagere Overheden, COELO).
For its annual review, COELO looked at the tax rates in 40 large municipalities, where 42% of the Dutch population lives. The entire report, including figures for each separate large municipality, can be viewed at www.coelo.nl.
Residential taxes for owner-occupiers
Municipal residential taxes for multi-person households that own their own home (immovable property tax, sewerage charges, and waste collection levy) will increase by an average of €25 (2.9%) to €876 per year. This is a much smaller increase than in 2021, when residential taxes for owner- occupiers rose by 6.7%
The main difference between 2021 and 2022 is in the waste collection levy: this will increase on average by 2.1% (€7) in 2022, compared to 10% (€31) in 2021. In 2022, the average tax on immovable property will increase by 3.5% (€12), and sewerage charges by 3.2% (€6).
Residential taxes are the highest in Leiden (€1,162) and the lowest in Tilburg (€687).
Residential taxes for tenants
Households in rented accommodation pay the waste collection levy and in some municipalities sewerage charges. In 2022, this will amount to an average of €400; €6 (1.5%) more than in 2021. Just like owner-occupiers, tenants will also see the waste collection levy go up by €7. Sewerage charges for tenants will be 1.8% (€1) lower than in 2021 on average.
Immovable property tax to increase by 3.5%
Homeowners pay immovable property tax to the municipality; tenants do not. In 2022, homeowners will pay an average of €347, which is 3.5% more than last year. This tax will rise the most in Utrecht (16.5%). Utrecht has decided to increase the rate of immovable property tax so that the municipality is able to maintain the city’s facilities and accessibility. Six municipalities are lowering the rate; the biggest decrease is in Breda (5.1%). Households in The Hague pay the least (€207 on average), in Nijmegen they pay the most (€766).
Sewerage charges for tenants to fall by 1.8%
Municipalities can choose whether to impose sewerage charges on homeowners, tenants, or both. On average, tenants will pay €57 for the sewerage charges, which is 1.8% (€1) less than in 2021. The decrease is a result of two municipalities (Hilversum and Purmerend) opting to impose sewerage charges on homeowners rather than tenants in 2022. In the other large municipalities, average sewerage charges for tenants will rise by 4% (€2).
In 15 large municipalities (38%), tenants do not pay sewerage charges. In those municipalities where tenants do pay sewerage charges, the rate for both one-person and multi-person households varies from €29 in Oss to €284 in Zaanstad.
Sewerage charges for owner-occupied households to increase by 3.2%
Households that own their own homes pay not only the sewerage charges for users (which tenants also pay) but also those for owners. On average, they will pay 3.2% (€6) more than in 2021. Single- person households pay the least in Lelystad (€106) and the most in Zaanstad (€284). Multi-person households pay the least in Tilburg (€108) and the most in Westland (€295).
Waste collection levy rises by 2.1%
The waste collection levy is used to cover the cost of waste collection and processing. On average, a multi-person household will pay €342 in waste collection levies in 2022; 2.1% more than last year.
As was the case in 2019, households in Nijmegen will pay the least (€39) because much of the cost of waste collection and processing is funded from the immovable property tax. Households in Amsterdam pay the most (€441).