– As part of July Jobs Stimulus Package, there will be a six-month reduction in the standard rate of VAT from 23% to 21%, from 1st September 2020 to 28th February 2021.
July Stimulus Package – Vat rate reduction from 13.5% to 9%
– The VAT rate for the tourism and hospitality sector will drop from 13.5% to 9% from 1st November 2020 to 31st December 2021.
– Businesses who can avail of reduced 9% rate are as follows;
a) hospitality sector
b) catering and restaurant supply companies
g) historic houses
h) open farms
i) amusement parks / fairgrounds
j) hairdressers / salons
k) certain printed material e.g brochures, maps and programmes
While only certain business sectors are impacted by this VAT change, it’s vitally important that each business applies the correct VAT rate applicable to their business.
If there are any queries or if you require assistance on the above, please do not hesitate to contact us.
We are happy to help.