ANNOUNCED AS TEMPORARYNo
Tax or social insurance relief
On 1 January 2010, the German government reduced the value-added tax in the hospitality industry to 7%. According to the 22nd subsidy report by the Finance Ministry, the measure was introduced after "taking account of the competitiveness situation of the European hospitality industry" (own translation, p.280).
The reduction is set to cost the government 850 million EUR in 2010 alone.
A state measure in the GTA database is assessed solely in terms of the extent to which its implementation affects the extent of discrimination against foreign commercial interests. On this metric, the state aid proposed here is discriminatory.
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