The owner of a passenger car pays motor vehicle tax (MRB). An exemption may apply to transport provided by volunteers.
Exemption
The MRB provides an exemption for cars that are (almost) exclusively used for licensed taxi services or for public transport. Volunteer transport does not require a licence, but may still be eligible for this exemption, provided the following conditions are met:
- the transport qualifies as taxi transport, as referred to in the Passenger Transport Act;
- and is run by volunteers, who do not receive any remuneration for their work;
- The organisation providing the transport is regarded as a trader for VAT purposes.
Volunteer transport
It is on this last condition that things go wrong in a case in which the Supreme Court recently, the ruling of the Court confirmed. The foundation in that case uses a motor vehicle to transport disabled people on a voluntary basis. However, the people being transported do not pay any fee (not even a small contribution), which means the foundation does not qualify as a VAT-registered business. A small (but not merely symbolic) contribution from the passengers would have entitled the foundation to the motor vehicle tax exemption.