Change in VAT rates on beer as of May 1

01-05-2020

A change in VAT rates on beer which takes effect on May 1, will reduce value-added tax on draught beer consumed on the pub premises, which has been moved from the 21-percent to the 10-percent VAT band. According to the amendment, bottled beer or draft beer sold to-go remains in the 22-percent VAT band.

The change, which was criticized for being irrational and confusing, is further complicated by the coronavirus restrictions according to which pubs and food stands can sell beer from take-out windows to be consumed at some distance and will be able to open outdoor premises as of May 11th.