Serbia changes 10% hotel VAT proposal
- Dec 13, 2013 | Richard Asquith
Serbia has changed proposals to raise VAT on hotel accommodation from the current reduced rate of 8% to 20%. Instead, it is planned to increase the rate to 10%.
It was concluded after extensive lobbying from that the hotel industry that a rise to the standard VAT rate of 20% would present the hotel industry with too much of a shock.
The reduced VAT rate of 8% is to be scrapped from 1 January 2014, and most goods are to be reclassified to a new 10% reduced VAT rate.
Many countries across Europe charge reduced VAT rates on hotels and tourism. This includes Ireland, which recently extend its reduced VAT rate of 9% for a further period. Below is a summary of the main countries and different hotel vs. standard VAT rates
Country | Hotel VAT | Standard VAT | ||
Austria | 10% | 20% | ||
Belgium | 6% | 21% | ||
Bulgaria | 9% | 20% | ||
Cyprus | 5% | 15% | ||
Czech Republic | 10% | 20% | ||
Denmark | 25% | 25% | ||
Finland | 9% | 23% | ||
France | 5.50% | 19.60% | ||
Germany | 7% | 19% | ||
Greece | 6.50% | 23% | ||
Hungary | 18% | 25% | ||
Ireland | 9% | 23% | ||
Italy | 11% | 22% | ||
Malta | 7% | 18% | ||
Netherlands | 7% | 21% | ||
Norway | 8% | 25% | ||
Poland | 8% | 23% | ||
Portugal | 6% | 23% | ||
Slovenia | 8.50% | 20% | ||
Spain | 10% | 21% | ||
Sweden | 12% | 25% | ||
UK | 20% | 20% |