Hungary cuts VAT on restaurants and basics
Hungary has proposed that it reclassify restaurant/café services, and a range of basic foodstuffs from the standard VAT rate of 27% to the reduced rates.
Restaurant food and services (excluding alcohol) will be reduced from 27% to 18% from 1 January 2017. They will be reduced again to 5% in January 2018.
There is also a plan to reduce the VAT charges on internet access.
Basic foodstuffs, including milk, poultry and eggs will be reduced to 5% on 1 January 2017.