From 1 January 2020, Amsterdam intends to introduce an advertising tax in order to reduce the amount of on-street advertising in the city. The payment of taxes for on-street advertising includes window advertising, advertising on façades, hanging signs, flags, sandwich boards, bus and tram shelters, name plates and large menus.

In November, the City Council will decide on the proposal to implement new rules and rates. The party which stands to benefit most from the advertising will be liable to pay the tax.

What will it cost?

The greater the visibility of the advertising, the higher the tax. The amount is calculated by adding up the total area of all advertising space on a building, per entrepreneur, organisation or private individual. A fixed price will apply to items such as flags, banners or umbrellas. There will be three tariff areas. In quieter parts of the city, the tax rate will be lower than in busier areas. For example, a shopkeeper in Noord with a two-square-metre sign on their premises would pay €84 per year. A comparable shop sign in the city centre would cost €150 per year. An advertising board of 40 square metres in Nieuw-West would cost €281 per year.

Who will need to pay?

It’s primarily businesses and organisations that will have to pay advertising tax. However, private individuals may also be assessed, for example if part of their building’s façade is used for advertising space. In spring 2020, the City of Amsterdam’s Local Taxes department will let businesses, organisations, residents and building owners know what details are currently recorded in the registry, in regard to the size and visibility of any advertising. They will then be able to respond to this within the online system using their DigiD or eHerkenning (level 2). The Local Taxes department will check these responses and send a final assessment in the autumn.

What next?

The City Council is expected to approve the rules and tariffs for advertising tax on 6 November 2019. The advertising tax would then be implemented as of 1 January 2020. Businesses and organisations that have not yet registered to use the eHerkenning system are advised to create an account. No advertising tax will be due for any on-street advertising that is removed prior to 1 January 2020.

More information