Obc members and all cyclists may be interested in reading this. It is from a
net friend of mine in The Netherlands.

"Another reason to buy a new bicycle was the favorable arrangement we have
with our employer and the tax authorities. Once in three years we can buy a
bike and pay it through our employer. It can be paid off by extra salary,
like holiday allowances. Taxes on such allowances are high, approx. 50%.
However when you use the money to buy a bicycle (or computer) you are able
to use the money before taxes. I think this sounds very complicated, so I
will give you an example.
Suppose my holiday allowance is 4,700 guilders before taxes, after taxes
that will be approx. 2,350. This bike is 1,700 guilders. This will be
deducted first, leaving 3,000 holiday allowance of which half goes to taxes
and I will get 1,500 instead of 2,350. So actually I only pay 850 guilders
for this bike. Does it make any sense to you?
This system is because our government wants to promote cycling and
discourage driving cars for short distances"
Mike Bachman

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