Dutch government quits over 'colossal stain' of tax subsidy scandal

[rooster59]

Dutch government quits over 'colossal stain' of tax subsidy scandal

By Stephanie van den Berg

 

Dutch Prime Minister Mark Rutte leaves the Royal Palace, in The Hague, Netherlands January 15, 2021. REUTERS/Piroschka van de Wouw

 

THE HAGUE (Reuters) - Prime Minister Mark Rutte's government resigned on Friday, accepting responsibility for wrongful accusations of fraud by the tax authorities that drove thousands of families to financial ruin, often on the basis of ethnicity.

 

The cabinet would remain in place for now in a caretaker capacity to manage the coronavirus crisis, Rutte said. He then rode his bike to King Willem-Alexander's 17th century baroque Huis Ten Bosch palace in The Hague to discuss his resignation.

 

An election has already been scheduled for March 17 at the end of Rutte's third term.

 

"This is about tens of thousands of parents who were crushed under the wheels of the state," Rutte told journalists. "There can be no doubt, this is a colossal stain."

 

A parliamentary inquiry found last month that officials at the tax service had wrongly accused families of fraud over childcare subsidies, causing an "unprecedented injustice".

 

Around 10,000 families had been forced to repay tens of thousands of euros each, in some cases leading to unemployment, bankruptcies and divorces. Many of the families were targeted based on their ethnic origin or dual nationalities, the tax office said last year.

 

"It is never acceptable for someone to feel they are being discriminated against based on nationality, race, gender, or sexual (orientation)," Rutte said. "It is absolutely unacceptable in a law-based state."

 

Orlando Kadir, an attorney representing around 600 families in a lawsuit against politicians, said people had been targeted "as a result of ethnic profiling by bureaucrats who picked out their foreign-looking names".

 

The crisis comes with the Netherlands in the midst of the toughest lockdown of the COVID-19 pandemic, and Rutte considering even more curbs as infections surge.

 

Even though public support for the government's COVID-19 measures has dipped sharply in recent weeks, Rutte's People's Party for Freedom and Democracy (VVD) is still riding high in public opinion polls ahead of the March election.

 

Rutte, in power since 2010, has been on course for a fourth term, with his party projected to take just under 30% of the vote, more than twice that seen going to the second placed PVV, the anti-Islam party of Geert Wilders.

 

(Additional reporting by Bart Meijer and Toby Sterling; Writing by Anthony Deutsch; Editing by Peter Graff)

 

-- © Copyright Reuters 2021-01-16

 

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[simple1]

Do any Dutch nationals on the forum know if the responsible bureaucrats will face criminal prosecution for the terrible injustice inflicted? Are those affected receiving compensation?

[robblok]

3 hours ago, simple1 said:

Do any Dutch nationals on the forum know if the responsible bureaucrats will face criminal prosecution for the terrible injustice inflicted? Are those affected receiving compensation?

As far as I know no criminal prosecution. But im a bit baffled I i knew about this affair but I work with the Dutch tax office a lot. Its quite easy to change things and get information from them. They are inefficient but I am pretty sure that if those families had provided the right forms a lot could have been averted. Probably lack of Dutch and lack of interest in stuff like that.

 

I see it often with my clients too only responding to the tax authority when its too late. Instead of solving it at an earlier time. I do believe that this happened, just saying that its not that hard to clear stuff up if you want too. I think its more a matter of lacking the skills to reply to the demand for more data from the tax office. I am sure they could have selected non Dutch sounding names but i doubt it was a process that could not be stopped if data had been given to the tax office.

 

Anyway admittingly it is messy at the tax office meaning that they are not always efficient and hard to reach and this minister was responsible so he should go. 

[robblok]

With the tax office you need to stop the process early. If they ask for data give it otherwise they will estimate things and you will have to prove otherwise. Its much easier to stop it early one and ask for a delay to send data. But once they are past a certain stage and go to collection you can be in trouble as then costs add up. Because you did not object earlier things will quickly go from bad to works.

 

That is my professional experience with the Dutch tax office. I doubt they are super racist there as when I call i often have people with non native Dutch names on the line. But I won't deny that they could have gone after people with foreign names first. Partly because many don't want to show their possessions abroad (some have houses and stuff) if you have that you don't get certain subsidies. So its not just a racism thing is also a where is the highest chance to catch a fraud thing. Yes its ethnic profiling and that seems to be wrong. But its also effective. 

 

But i get that its a slippery slope. I must say many people will try to pull one over on the tax office no matter the color of their skin. The things i see them trying to deduct is amazing. Washing machines (bit hard to do that for a business unless your a launderette) 

[Black arab]

Politicians with morals? Ummm  the tories could iearn a thing or two from this. Nah aint gonna happen.

[stevenl]

6 hours ago, simple1 said:

Do any Dutch nationals on the forum know if the responsible bureaucrats will face criminal prosecution for the terrible injustice inflicted? Are those affected receiving compensation?

Most likely no criminal prosecution, but that may change, but if so only very limited.

The affected people have been promised 30,000 Euro each, too big of a mess to sort it out individually. However at the moment the tax department is already claiming those 30k for most since they're behind with tax payments. Really sad. Probably the lower House won't accept that though.

[stevenl]

1 hour ago, Black arab said:

Politicians with morals? Ummm  the tories could iearn a thing or two from this. Nah aint gonna happen.

They were more or less forced into this. And with elections coming up it won't affect anything too much. Most parties think this will help them with the voters (governing parties because they are taking responsibility, opposition parties since they forced them out), IMO looks like the biggest party, VVD, will gain most from this with some of the opposition in the ropes already due to infighting.

[puck2]

1 hour ago, Black arab said:

Politicians with morals? Ummm  the tories could iearn a thing or two from this. Nah aint gonna happen.

 

I would like to see Prayut leaving his office in the same way.... hmmmm

 

Edited January 16, 2021 by puck2

[Rimmer]

A couple of off topic troll posts have been removed

[wolf81]

7 hours ago, simple1 said:

Do any Dutch nationals on the forum know if the responsible bureaucrats will face criminal prosecution for the terrible injustice inflicted? Are those affected receiving compensation?

I believe the bureaucrats cannot face prosecution. One would need to read into the "Pikmeer-arresten" (English translation here) to gain a better understanding: 

https://translate.google.com/translate?sl=auto&tl=en&u=https://nl.wikipedia.org/wiki/Pikmeerarresten

 

I think the key sentence is the following:

 

Quote

In previous judgments, the Supreme Court had already ruled that local authorities could not be prosecuted for criminal offenses committed in the performance of specific government tasks. This reasoning was partly based on the explanatory memorandum for the establishment of Article 51 Criminal Code. In 1987 this was explicitly limited by the Supreme Court to the public bodies mentioned in Chapter 7 of the Constitution. The Pikmeer I judgment raise

 

And families were promised 30.000 EUR compensation, but it seems the government / tax agency is already backtracking on this, which is possible since the cabinet resigned.

 

Most likely the current prime-minister (Rutte) who is most responsible for this mess will likely be re-elected in March. Perhaps he figured it'd be easier to get re-elected if he didn't have to deal with this mess during elections. 

Edited January 16, 2021 by wolf81

[Dirk Z]

56 minutes ago, stevenl said:

They were more or less forced into this. And with elections coming up it won't affect anything too much. Most parties think this will help them with the voters (governing parties because they are taking responsibility, opposition parties since they forced them out), IMO looks like the biggest party, VVD, will gain most from this with some of the opposition in the ropes already due to infighting.

The civil servants were just following the rules, i.e. the laws, and so far will not be prosecuted. As for politicians everyone as a law maker is responsible but also not prosecutable. And accountable, hence resignation of the whole government.

[soalbundy]

Nobody likes the tax office anywhere but it is important to realize that the civil servants working there are just ordinary citizens (usually with a less than good salary) who do their bosses bidding. I agree that it is important to deal with them as quickly as possible, once you are in the grinder it is almost impossible to backtrack.

I get a good German pension but because I have nothing in Germany anymore and have no other income I don't pay tax. This however involves me having to fill out a specific form regarding my company pension, I do this every year without problems, the form isn't sent to me I have to download it myself. This year however I received a letter saying I hadn't provided enough information and I would be taxed to the fullest amount if I didn't fill in the form correctly and they received it by xxx which was 4 days away. I immediately rang them up and a helpful lady explained that a signature was missing. There is nowhere on the form that asks for a signature I said. You only filled out side 'A' side 'D' has a space for a signature. Only side A is pertinent to me and I have done this for years on the recommendation of my company. Your tax office has changed from Munich to Straubing and we require every page to be sent even if it doesn't concern you, download all the forms and send them off again (to Straubing this time) with a signature on page D. It will never get to you by xxxx what should I do. Photograph each side and send it as an attachment with an email to me, I'll see it gets through correctly. No problems, I caught it before the meat grinder and the tax lady did her best to help me, if I had ignored the letter there would have been problems, grosse Schwierigkeiten ????

[hgma]

chaos politics, promises ,massive amount payed for red tape, only 1 has received compensation hundreds of lives ruined, storm is accelerating in strength, which point (imho)to criminal prosecution.

[soalbundy]

4 minutes ago, hgma said:

chaos politics, promises ,massive amount payed for red tape, only 1 has received compensation hundreds of lives ruined, storm is accelerating in strength, which point (imho)to criminal prosecution.

but who are you going to prosecute, the the not overly paid civil servant doing his/her job (assuming they stuck to the rules) the department boss who has his instructions from higher up, his boss who has a political master (he obviously misinterpreted his instructions) it will be a nebular 'yes minister' maze and nobody will be prosecuted and compensation will take years in the making......it's democracy at its finest, that's how it works whereby the few dealings that I have had with Dutch bureaucracy has always been positive.

[puipuitom]

16 hours ago, simple1 said:

Do any Dutch nationals on the forum know if the responsible bureaucrats will face criminal prosecution for the terrible injustice inflicted? Are those affected receiving compensation?

Why criminal prosecution ? Just followed - yes, too narrow-sighted - regulatrions & laws, which were ratified in Dutch parliament. The fault is digged up by two members of two different parties in Dutch parliament.

 

Oh.. first read 10% and imagined the other 90 % extra ?

 

How many governments would do the same as acknowledgement of their mistakes ?

 

 

[Solinvictus]

*The other country that speaks English also*

[puipuitom]

10 hours ago, puck2 said:

 

I would like to see Prayut leaving his office in the same way.... hmmmm

 

a) what's wrong with Dutch Royal transport in NL ? see Leuk! Nederlandse royals op de fiets (naar hun werk) - Blauw Bloed (eo.nl)

 

b) How many other heads of government ? I believe he is the only one.

 

c) All is in a reach of 2-3 km from his home, zero traffic jam, no parking problems, and,.,. doing sports during working hours. Second: never any problem with the driver. Third: quite environmentally friendly.

[Natai Beach]

Corrupt and racist. 

Glad I chose to move to Thailand and not the country the Dutch come from, whatever they call it.

[StreetCowboy]

10 hours ago, puck2 said:

 

I would like to see Prayut leaving his office in the same way.... hmmmm

 

That shows a politician at peace with his people and journalists with respect for their victims.

It's great to see a politician going about his business, not having to be protected from a pack of paparazzi

 

SC

[Meat Pie 47]

10 hours ago, puck2 said:

 

I would like to see Prayut leaving his office in the same way.... hmmmm

 

You mean for good

[Meat Pie 47]

14 minutes ago, Natai Beach said:

Corrupt and racist. 

Glad I chose to move to Thailand and not the country the Dutch come from, whatever they call it.

Take your medicine

[stevenl]

On 1/16/2021 at 7:09 AM, stevenl said:

Most likely no criminal prosecution, but that may change, but if so only very limited.

The affected people have been promised 30,000 Euro each, too big of a mess to sort it out individually. However at the moment the tax department is already claiming those 30k for most since they're behind with tax payments. Really sad. Probably the lower House won't accept that though.

As was expected, money owned to government agencies, including the tax department, will not be collected but forgiven.

[4reaL]

On 1/16/2021 at 1:28 AM, puck2 said:

 

I would like to see Prayut leaving his office in the same way.... hmmmm

 

 

On a VanMoof ?