Hotel rates to drop by up to 10 pct following VAT cut, says Paralela 45

Newsroom 10/12/2014 | 16:23

The government’s decision to cut the VAT for tourist packages to 9 percent from the present level of 24 percent will lead to hotel rates dropping by up to 10 percent, estimates Alin Burcea, president of travel agency Paralela 45.

“It is the first real measure taken to support the local tourism industry in six years. We now have two good measures – the VAT cut and the holiday vouchers – which are the basis for internal growth in 2015,” he explained.

The number of tourists who will choose to eat in the hotels’ restaurants is also expected to go up as up until now the VAT was 9 percent only for packages that included accommodation and breakfast. If tourists wanted to eat lunch and dinner in the same hotel the VAT was 24 percent.

Simona Bazavan

BR Magazine | Latest Issue

Download PDF: Business Review Magazine March (II) 2024 Issue

The March (II) 2024 issue of Business Review Magazine is now available in digital format, featuring the main cover story titled “BAT DBS Romania Hub: A Vibrant New Office For An Employee-Centric
Newsroom | 27/03/2024 | 17:32
Advertisement Advertisement
Close ×

We use cookies for keeping our website reliable and secure, personalising content and ads, providing social media features and to analyse how our website is used.

Accept & continue