Which taxes the gemeente levies and what they pay for
The Netherlands has 342 municipalities, and each gemeente (municipality) carries out public duties that directly affect local residents. Municipalities execute national laws through joint administration, while also deciding local policies on housing construction, cultural centres, and cycling routes.
Local authorities maintain the Basisregistratie Personen (BRP, personal records database), issue driving licences, provide passports, and disburse social assistance benefits to residents who cannot support themselves financially. They hold legal responsibility for youth care, school building maintenance, pupil guidance funding, and social support services under the Wet maatschappelijke ondersteuning (Wmo, Social Support Act). Furthermore, municipal councils prepare local development plans designating specific land for housing, commerce, or nature, and negotiate building targets with housing associations. Because local authorities set their own budgets, the exact fees vary between different towns and cities, but every municipality must publish its official tax bylaws publicly so residents can verify their assessment.
A municipal council decides independently how to spend public funds on local facilities.
These tax revenues maintain streets, cycle paths, and pavements, while keeping business parks accessible. Subsidies granted to public swimming pools, libraries, and theatres also come from these municipal accounts. In addition, the gemeente enforces national environmental management laws governing residential waste separation and collection. You can inspect the statutory framework for local public administration on Rijksoverheid.
Waste levy and sewerage charge: tenant or owner
Your housing status determines whether you receive an assessment for waste collection alone or for sewerage charges as well.
Every household pays the afvalstoffenheffing (waste levy), which covers the collection and processing of household rubbish. The municipality does not track how many bags of rubbish you throw out. Instead, your fee depends on how many individuals are registered at your address in the BRP on 1 January. In Rotterdam, a single-person household pays €381.90 per year, a two-person household pays €457.50, and a household of three or more people pays €495.30. In Den Haag, the charges are €412.56 for one person, €463.80 for two people, and €507.48 for three or more. Commercial businesses do not pay this household levy; they must arrange their own commercial waste collection contracts.
Tenants do not pay sewerage.
The rioolheffing (sewerage charge) funds the transport and drainage of wastewater and rainwater from roofs and streets, preventing flooding and protecting public hygiene. In municipalities like Rotterdam, this cost falls on property owners. The standard owner rate in Rotterdam is €319.10 per year, while small properties valued below €50,000, like garage boxes or storage units, pay a reduced rate of €63.80. If you rent your living space, your landlord pays the sewerage charge, though your annual rental contract may specify water board fees separately.
If you move into a home during the calendar year, the municipality recalculates your waste levy from your move-in month through December. You can review specific municipal rates and municipal rules on Den Haag's waste levy portal.
OZB and the WOZ value: how it is set and how to object
Homeowners must pay the onroerendezaakbelasting (OZB, immovable property tax), an annual levy calculated as a percentage of the property's market value.
This valuation is known as the WOZ-waarde (Wet waardering onroerende zaken, property value) and is determined each year through municipal appraisals. The municipality assesses what the property would fetch on 1 January of the previous calendar year, a date known as the waardepeildatum (reference value date). Appraisers inspect building characteristics, land size, and market sales data from comparable homes that sold near that date. An appraiser does not need to visit every individual property. Instead, municipal software models estimate values by comparing square metres, building conditions, and geographic location.
The municipality does not consider your mortgage debt or ground lease when calculating your property valuation.
Four main administrative systems use the exact same WOZ figure:
- Municipalities calculate the OZB rate and occasionally sewerage fees.
- The Belastingdienst (Tax Administration) determines deemed rental income (eigenwoningforfait), corporate tax, gift tax, and inheritance tax.
- Water boards (waterschappen) calculate water management taxes.
- Social housing corporations use the value to set maximum rental limits under the national point system.
In Rotterdam, residential property owners pay an OZB rate of 0.0643% of the WOZ value, which equals €64.30 per €100,000 of value. The supervisor overseeing municipal valuation accuracy across the country is the Waarderingskamer. If you believe your valuation is incorrect, you can lodge an objection (bezwaar) directly with your municipality within 6 weeks of the date printed on your WOZ-beschikking (WOZ decision notice). Filing an objection is free. The municipality must deliver its decision before the end of the calendar year in which you submit the objection. You can verify the official objection procedure on Rijksoverheid.
The assessment: when it arrives and how you pay
Municipalities issue the aanslagbiljet gemeentelijke belastingen (tax assessment notice) once a year to every registered address.
You will receive this document either by physical post or electronically through your Berichtenbox on MijnOverheid. The bill lists your waste charge alongside your sewerage and OZB charges if you own the real estate. Payment terms are strict: you must pay the total amount within 6 weeks of the assessment date.
That deadline is strict.
You have two primary payment options depending on your municipal portal:
- Pay the total amount at once using iDEAL or a manual bank transfer.
- Set up an automatic direct debit (automatische incasso) to divide the bill into monthly instalments.
Some cities, like Rotterdam, permit in-person desk payments at the central city hall, but only if you cannot pay online and book an appointment in advance.
If you move to another municipality, you can request an official discharge (ontheffing) for the remaining months of the year, but you must settle the portion covering the months you were registered. To submit an online request for an exemption or manage your bill, you must log in using your personal DigiD security credentials. Den Haag requires online applications through its digital desk or a formal signed letter sent by post to the director of municipal taxes within 8 weeks of your situation changing. If you ignore the initial deadline, the municipality will dispatch a payment reminder (aanmaning), which adds administrative costs and statutory interest charges to your outstanding balance. Details on payment arrangements are available through the Rotterdam tax portal.
Remission on a low income
Residents who lack the financial means to settle their municipal tax assessment can request a formal waiver known as kwijtschelding.
The municipality assesses your eligibility under national debt collection guidelines (Leidraad Invordering), reviewing your net household income, living expenses, and liquid assets. The savings thresholds for tax remission are much stricter than the rules for general welfare (bijstand). For instance, Rotterdam limits allowable bank balances to roughly €3,700 for a single person, €4,500 for a single parent, and €4,900 for a married or cohabiting couple. If you or your partner were born before 1 January 1935, you may retain an additional €3,350 per eligible person.
Owning a motor vehicle less than nine years old or driving a luxury brand will prompt the tax department to reject your application.
The municipality expects you to use 80% of your disposable payment capacity toward your tax liability. Municipal assessors automatically calculate your holiday allowance (vakantiegeld) at 7% of net income unless you submit documents demonstrating a lower actual receipt. In Rotterdam, approved remission cancels 76.5% of your waste levy, meaning you must still pay the remaining 23.5% out of pocket. For a single resident, that leaves €89.75 to pay; for two residents, €107.51; and for three or more residents, €116.40.
You must submit your remission request within 3 months of paying or receiving your assessment notice. The municipal tax office will issue a written decision within 3 to 6 months. While your request is processed, direct debit payments pause for the disputed sum. Small self-employed entrepreneurs (kleine zelfstandigen) with income at or below welfare levels may also request remission, provided they have no private wealth. Check the national criteria for municipal tax waivers on Rijksoverheid.
Other local charges: parking, dogs and tourist tax
Beyond standard residential property levies, Dutch municipal councils possess the legal power to establish individual tax regulations (verordeningen) for specific local activities and properties.
All 342 Dutch municipalities adopt local bylaws that determine which additional charges apply within their municipal borders. While standard assessments cover waste and sewerage, local authorities publish separate bylaws on overheid.nl to regulate specialized spaces, business usage, and vehicle enforcement. For example, individuals who reside in moveable living accommodations—such as houseboats (woonboot) or mobile residential trailers (woonwagen)—do not pay standard OZB. Instead, they pay the Roerende Woon- en Bedrijfsruimte Belasting (RWBB), which in Rotterdam is set at 0.0643% of the assessed movable property value.
Local parking enforcement functions under municipal tax law rather than national traffic regulations. If you accumulate unpaid parking debts or violate parking fee rules, local enforcement officers can immobilize your vehicle using a wheel clamp (wielklem). In Rotterdam, removing a wheel clamp requires immediate payment at the central city hall desk on Coolsingel before 16:00 on the same business day.
Commercial properties also face distinct local tax structures. Users of non-residential buildings pay an OZB rate of 0.2944% of the WOZ value, whereas owners of non-residential buildings pay 0.4129%. Because each local council votes independently on its tax tariffs and enforcement mechanisms, rules on extra charges vary substantially across municipal borders. You should inspect your local council's tax portal or consult Rotterdam's municipal tax overview to see which specific bylaws govern non-standard properties, parking fees, and local permits where you live.
What the KNM exam asks about this
The Kennis van de Nederlandse Maatschappij (KNM) exam examines your understanding of practical civic administration and how local institutions operate.
A scenario may present a newcomer receiving an unexpected bill in the post and ask which government body sent it. Useful knowledge: the gemeente handles waste collection and the WOZ valuation, not the central tax office (Belastingdienst). A question may also ask whether you know that residents pay the waste charge, that digital public services require a DigiD, and that low-income residents can request kwijtschelding. You can test your civic knowledge using free practice exams on DUO's practice platform.