5% reduced VAT rate – Law 13/2019

In brief

Law no. 13/2019 amending the scope of the VAT reduced rate of 5% has been recently published.

 

In detail

Effective from 13 January 2019, a reduced VAT rate of 5% has been introduced for the supply of the following transport services for tourism or leisure purposes:

  • transport of passengers by vintage steam narrow-gauge trains or vehicles for tourism or leisure purposes;
  • cableway transport of passengers - cable cars, gondola lifts, chair lifts, ski lifts - for tourism or leisure purposes;
  • transport of passengers by animal-pulled vehicles, for tourism or leisure purposes;
  • transport of passengers by boats used for tourism or leisure purposes.
[Source: Law 13/2019 on the approval of Emergency Ordinance no. 89/2018 on certain fiscal-budgetary measures and amending and supplementing specific items of legislation, published in the Official Gazette no. 28/10 January 2019]

 

 

The takeaway

Law 13/2019 extends the scope of the 5% reduced VAT rate to include transport services for tourism or leisure purposes.

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