The municipality of Amsterdam has rescinded almost 400.000 euros worth of fines it issued for illegal holiday rental. This is in response to the Dutch Council of State’s ruling, which deemed Amsterdam’s permit exception for holiday rentals unlawful.

Levied on the wrong grounds

Last week, the Dutch Council of State set a precedent by declaring that one woman needn’t pay the fine issued by the municipality, as it was levied on the wrong grounds. The municipality has since decided to overturn the fines it issued for similar offences. Only those fines which were levied on the wrong grounds, namely those issued because the offenders had not reported the holiday rental of their house to the municipality, have been nullified. Moreover, those which have already been paid will not be refunded.

At the end of 2017, Amsterdam implemented new rules, meaning those renting to tourists had to report this to the municipality, even if it was just for one night. The purpose of this was to monitor and ensure those renting out their homes did not exceed the maximum of 30 days per calendar year – a period which came into force in 2019. The Dutch Council of State ruled Amsterdam’s holiday rental registration construction unlawful, as anyone renting out their place should have a permit; something this construction exempted them from having.

New policy in the making

Fines thus levied on the basis that one has not reported renting out their residence to tourists are not valid. During a debate at city hall, housing alderman Laurens Ivens said, “We are going to withdraw the fines. The reporting requirement is dead. Whilst those fines have been overturned, you can still be fined for not having a permit."

Right now, the municipality is at an impasse, as its permit exemption is no longer allowed and in practice, it does not grant permits for holiday rental. In order to move forward, Ivens will present new policy next week.