Precarium Tax

Precarium tax (precariobelasting, also called precariorechten) is a municipal tax levied when you use public land for commercial purposes. If you place a terrace, market stall, advertising sign, construction container, or other objects on municipal ground, the municipality may charge you this tax based on Article 228 of the Municipalities Act (Gemeentewet).

The tax amount depends on the surface area you occupy, the duration, and the location. Rates are set annually by each municipality and vary widely. Busy city center locations typically carry higher rates than quieter areas. Some municipalities have abolished precarium tax entirely, while others actively use it as a revenue source. You receive an annual assessment that you can contest if you disagree with the calculation.

Requirements

  • Use of municipal land: You use municipal land for commercial purposes such as a terrace, market stall or other structure
  • Permit: You hold a terrace permit or market stall permit
  • Surface area: The tax is calculated based on the occupied surface area in square meters
  • Duration: The tax depends on the period during which you use the municipal land

Procedure

  • Automatic assessment: When you apply for a terrace permit or market stall permit, you automatically receive an assessment for precarium tax
  • Calculation: The municipality calculates the tax based on the surface area and duration of use
  • Rates The Hague: For terraces € 27.50 per m² per year; rates for market stalls vary by location
  • Payment: You pay the tax according to the municipality's assessment
  • Objection: If you do not agree with the assessment, you can object to the municipality