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The EU has limited competences in the area of taxation. The EU aims to tackle the tax obstacles that prevent individuals and companies from operating freely across borders and from exploiting the benefit of the Internal Market. It encourages changes to tax systems so that they support Community objectives such as competitiveness and sustainable development. 

With regard to taxation at EU level, the most important issue for the hospitality industry is the area of value added tax (VAT).

Decisions on legislation concerning taxation matters require unanimity in the Council. The European Parliament is only consulted.

Recent studies show the impact of taxes on the competitiveness of European tourism (Download Report)

Position Papers: 

  • HOTREC Position Paper on the emergence of different tourism taxes, especially bed taxes across Europe  3 May 2012


Working Documents :

  • Report on the benefits of low VAT on job creation and competitiveness  4 May 2017

  • HOTREC response on Consultation on reduced VAT rates legislation  9 January 2013

  • VAT Consultation of the European Commission - HOTREC reply  30 May 2011

    HOTREC's reply to the European Commission's Green Paper public consultation on the future of VAT in the EU