Czech cuts restaurant VAT

Wed 30th Mar 2016

The Czech Republic has become the latest country to cut the VAT rate on catering services, including restaurants and cafes. The rate will drop from 21% to 15% on 1 December 2016.

Sales of alcohol and tobacco products will remain at the higher rate.

Portugal will cut restaurant VAT to 13% next month.  Many other EU countries have given similar boosts to their tourism-related services.  Ireland claims that such a reduction in 2012 helped create some 30,000 jobs in the sector, one of Ireland’s most important industries.