The Dutch Government in its recent Tax Package, announced an increase in the standard VAT rate from 19% to 20%.

The increase was due to take effect from 1 January 2009. 

However, the change may well be delayed until 1 January 2010. The impact of the credit crunch has prompted a finance minister in the Netherlands to indicate that the proposed increase to 20% may well be delayed. A final decision will be taken in August this year.