Reduced VAT rate for hotels not tied to national classification, says EU Court

• The reduced VAT rate for accommodation facilities cannot be tied to the possession of a classification certificate, unless it corresponds to specific aspects of hotel services.
• The principle was established by the Court of Justice of the European Union in a recent case.
• The case originated from Bulgarian tax legislation, which links the reduced VAT rate to the issuance of a classification certificate.

Source: eutekne.info

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