Dutch ports appeal EU tax decision

The Port of Rotterdam Authority, together with the Amsterdam Port Authority, Groningen Seaports, the Moederdijk Port Authority, the Port of Den Helder and Zeeland Seaports are all set to appeal.

Paul Smits, Port of Rotterdam Authority’s financial director, said: “We are not against paying corporation tax, but then it should apply to all European sea ports.”

“This is a matter of principle for us. The foreign ports with which we have to compete do not pay corporation tax and, in addition, are even supported in various ways by their governments.”

The Dutch legislature had made an exception in the law for port authorities last year, meaning they did not have to pay corporation tax because they were not competing with private parties.

This decision was overturned by the European Commission in January, in legal proceedings the port authorities will principally allege an infringement of the principles of proper administration.

Mr Smits added: “Within Europe, it should be a question of ‘what’s sauce for the goose is sauce for the gander’. The payment of corporation tax will come at the expense of our investments in the port complex. The purpose of this cannot be to increase unfair competition.”

The Port of Rotterdam Authority would have to pay approximately €60m of corporation tax per year on the basis of the most recent annual figures.