International

This week the PvdA, GroenLinks and SP announced a bill to introduce a fair wealth tax. The parties want to reduce the inequality in the Netherlands and demand that the largest wealth groups make a fair contribution to our collective provisions. 

The inequality of wealth in our country is one of the highest in the world. Recently, the Supreme Court found that the current way in which tax is levied is not permitted. Given that the Rutte IV coalition agreement does not include any proposals to change this, the opposition parties have joined forces and produced an initiative bill that will stand up in court and reduce the wealth gap.

Mahir Alkaya, SP Member of Parliament: 'With respect to taxing income from capital, the cabinet wants to wait until 2025. This would mean that people with lots of money do not have to contribute anything to our society at all, while the burden for ordinary people increases. This is what we want to prevent.

The initiative bill proposes a progressive wealth taks: rich people will pay tax from 100,000 euros (or 200,000 euros for two-income households). From 1 percent up to 500,000 euro to 5 percent for assets higher than 5 million euro. This will relieve ordinary savers, while people with substantial assets will contribute more.

This article is a translation of an article on www.sp.nl