Greek tourism professionals applauded the recent announcement of the VAT cut in the food service sector but also underlined that similar tax reductions must be considered for the whole tourism sector for the country’s competitiveness to improve.
Marios Trivizas, the president of the General Panhellenic Federation of Tourism Enterprises (GEPOET), said an actual difference in state coffers would be apparent only if a single VAT rate of 6.5 percent for the whole tourism package (transport, accommodation, catering) was established.
“The Greek tourism product would then be more competitive since it would be on the same level of its big competitors,” Mr. Trivizas said.
On its part, the Hellenic Association of Travel & Tourist Agencies (HATTA) said it was confident that the the VAT cut in the food service sector would work positively. The association said positive results would be seen in the 2014 season.
HATTA added that the competitiveness of Greek tourism would improve if the VAT is reduced in the whole tourism sector, including road and ferry transport.