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Incorrect cost allocation in meat and livestock inspections

  • 27 September 2023

In a recent development, the Business Appeals Tribunal (CBb) ruled that some of the costs for meat and livestock inspections should not have been borne by slaughterhouses and livestock exporters. This judgment follows a prolonged dispute over the fees companies are obliged to pay for inspection services carried out by the NVWA and B.V. Quality Inspection Animal Sector KDS.

By legal obligation, slaughterhouses and livestock exporters are responsible for co-financing these inspections. Invoices for these services are issued by the Minister of Agriculture, Nature, and Food Quality. However, several companies disputed the calculation method, arguing that the rates were disproportionately high. They contended that the minister overcharged certain costs and took their case to the CBb.

In its verdict, the CBb partially acknowledged the companies' concerns. Although the minister's calculation method was permitted, he improperly allocated certain costs. These costs include expenses related to co-determination, depreciation of buildings and land, and even costs for Christmas gifts and the hiring of consultants and accountants.

However, the CBb confirmed that the costs KDS charged for building financial reserves - to safeguard against potential loss of revenue during crises - were not allocated. In this regard, the minister does not owe any refunds.

The minister now has thirty weeks to make new decisions concerning the companies' objections.

Rechtspraak.nl

Source: Rechtspraak