There are two VAT rates in the Netherlands: the lower 6% rate and the higher 21% rate.
As per January 1 2019 the lower VAT rate will be increased to 9%.
The monthly rent you pay to De Key includes the lower VAT rate.
All tenants who have a lease that started before 1 January 2019 will receive a price increase as a result of the VAT increase. De Key will provide the tenants with detailed information in the first week of November 2018.
This rent increase does not affect your rent allowance.
When your tenancy agreement started in 2018, it is important you apply for the rent allowance before 31 December 2018!
You could notice several more price increases in Holland starting January 2019.
Apart from your rent the Dutch reduced VAT rate applies many other services and products such as:
Foodstuffs (excluding foodstuffs for animal consumption); some soft drinks; water supplies; certain pharmaceutical products; certain medical equipment for disabled persons; domestic passenger transport (excluding air travel); intra-community and international road, rail and inland waterway passenger transport; books (excluding e-books); newspapers and periodicals; admission to cultural events and amusement parks; writers and composers; certain renovation and repair of private dwellings; certain cleaning of private households; hotel accommodation; restaurants (excluding alcoholic beverages); take away food; bars, cafes and night clubs; admission to sports events; use of sports facilities; minor repairs of bicycles; shoes and leather goods; clothing and household linen; hairdressing; cut flowers and plants for decorative use (some exclusions) and food production.