Moldova cuts hotel VAT

Sun 29th Jul 2018

Moldova has proposed recategorising the VAT rate on hotel and restaurant services from the standard 20% rate to the reduced rate of 10%. The new rate will apply form October 2018.

Tourism tax subsidy

Few countries in the EU charge full VAT on such hospitality services.  Countries such as Ireland and Germany have long provided a tax subsidy to this key sector, with considerable boosts in job creation and international visitor numbers.


Country Hotel VAT rate Restaurant VAT rate Theatres, Cinema VAT rate Standard VAT rate
UK 20% 20% 20% 20%
Ireland 9% 9% 9% 23%
France 10% 10% 10% 20%
Germany 7% 19% 7% 19%
Italy 10% 10% 10% 22%


Click for free Moldovan VAT info