The German Hotel and Restaurant Association (DEHOGA) apparently finally achieved what they have been fighting for: 7 % Value Added Tax.
The internet presence of DEHOGA im Internet is excellent. Reading it automatically makes you sympathetic to the idea of a reduced value added tax for hotels and restaurants.
It says there are 7 good arguments for 7 per cent in the hotel and restaurant business:
- Margin in the budget for reduced prices, investments, employee qualification and wages.
- Improvement of the cost/performance ratio.
- Up to 70,000 new jobs in the hotel and restaurant business.
- Equal chances on the European market.
- Abolition of the competitive disadvantage gastronomy now has against bakeries, butcheries and drugstores.
- Promotion of an indulgence and eating culture.
- Strengthening of Germany as a country full of touristy attractions.
What is interesting is that the one argument that probably makes all the difference is mentioned as the seventh and last reason.
Spontaneously, 7 good reasons for 7 per cent for the entire service industry evolve:
- Margin in the budget for reduced prices, investments, employee qualification and wages.
- Improvement of the cost/performance ratio.
- 700,000 or more new jobs in the service industry.
Equal chances on the European market. - (Minimal) improvement of the position among the competition for the German service industry against dumping and near shore prices or moonlighting.
- Promotion of the social and cultural life in the families and all levels of society.
- Strengthening of Germany as a business country.
Following these arguments, the entire service industry should have the reduced VAT rate of 7%, shouldn’t it? As soon possible, I will look for the internet presence of the German Software and System Administration Association (the acronym could be DESOSY).
🙂 Unfortunately, I already know what I am going to find:
The GI and the BITCOM. All you have to do is compare their internet sites with those of DEHOGA – and you know what I am talking about.
So: Chapeau for DEHOGA (although, ethically spoken, I do not condone the reduction of VAT exclusively for hotels and restaurants). However, the lobby did a wonderful and obviously successful job. And they were lucky, because the right parties for them were elected into the Federal Government.
RMD
(Translated by EG)
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