Tourism in the Netherlands reached record-breaking spending levels in 2023, exceeding 100 billion euros. While this indicates a strong tourism sector, the upcoming VAT increase on several recreational activities, including hotel stays, might negatively impact visitor spending and the overall economy.
Prince William and Kate Middleton will see a significant increase in school fees for their children, Prince George, Princess Charlotte, and Prince Louis, starting in 2025 due to a new VAT rule that ends the exemption for private schools in the UK. The change will lead to a 20% fee hike across all private schools, impacting the royal couple’s education expenses considerably.
The Maharashtra government has announced a reduction in Value-Added Tax (VAT) on fuel in the Mumbai Metropolitan Region, leading to a price decrease for petrol and diesel. The decision, announced during the state budget presentation, is expected to come into effect from July 1st. This move, costing the state ₹200 crore, aims to provide relief to residents and comes ahead of the upcoming state assembly elections. The budget also includes other key announcements like financial assistance for women, farmers, and healthcare improvements.
VAT exemptions in the UK are rife, leading to inconsistencies and potential inefficiencies. While the government plans to partially rectify this by imposing VAT on private school fees, more comprehensive reforms are necessary to address the overall regressivity of the tax system and promote economic efficiency.
