Reduced 9% VAT rate for hospitality sector to be extended until February 2023

THE GOVERNMENT HAS announced that a special VAT rate for the hospitality sector is to be extended until early next year.

The special 9% rate for the hospitality sector was introduced in 2020 in a bid to lessen the impact of the Covid-19 pandemic.

It was due to lapse in August this year, but will now be retained for a further six months until 28 February 2023.

The extension will cover the same goods and services as the original measure, including restaurants, cinemas, theatres and museums, at a cost of €250 million.