ZAGREB, Sept 13 (Hina) - Croatia's tourist employees on Monday endorsed Tourism Minister Ivan Herak's motion for a reduction of Value Added Tax from the present 22 to ten percent. They believe a ten percent VAT in tourism would raise
the level of competitiveness of Croatian tourism and result in a higher number of foreign tourists vacationing in Croatia. The tourist employees believe the reduction would also affect the costs of accommodation which in Croatia are more expensive than elsewhere. In other countries, VAT on accommodation ranges between six and eight percent; some countries to further stimulate foreign tourist business also okay tax refund after tourists leave the country. Croatian hoteliers maintain VAT for the hotel business should not exceed 12 percent because, they add, higher rates are detrimental to tourism.(hina) ha
ZAGREB, Sept 13 (Hina) - Croatia's tourist employees on Monday
endorsed Tourism Minister Ivan Herak's motion for a reduction of
Value Added Tax from the present 22 to ten percent.
They believe a ten percent VAT in tourism would raise the level of
competitiveness of Croatian tourism and result in a higher number
of foreign tourists vacationing in Croatia.
The tourist employees believe the reduction would also affect the
costs of accommodation which in Croatia are more expensive than
elsewhere.
In other countries, VAT on accommodation ranges between six and
eight percent; some countries to further stimulate foreign tourist
business also okay tax refund after tourists leave the country.
Croatian hoteliers maintain VAT for the hotel business should not
exceed 12 percent because, they add, higher rates are detrimental
to tourism.
(hina) ha