The UK tourism industry received a boost this week as politicians came out in support of the Cut Tourism VAT campaign to reduce VAT on the sector. It has emerged that EU approval is not needed to go ahead with a cut, which could raise £4 billion and which would bring the UK’s rate on tourism more into line with the rest of Europe.
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The new guidance is not meant to reflect a substantial change to UK law, but the requirement that tax advice is ‘likely to be correct’ imposes unrealistic expectations
China and a clutch of EU nations have voiced dissent after Estonia shot down the US side-by-side deal; in other news, HMRC has awarded companies contracts to help close the tax gap