Government Is Preparing to Increase the VAT Rate for the HoReCa Sector

Services in restaurants, cafes, bars, and hotels may become more expensive in the near future. Moldovan Prime Minister Alexandru Munteanu said that the increase in the VAT rate for the HoReCa sector will take place within the framework of the “tax unification plan”, reports bani.md. “There are different VAT rates that we want to unify. For example, the HoReCa sector pays 8% and I think this is unfair. People who go to restaurants or stay in hotels can pay more,” Alexandru Munteanu said. According to him, the necessary legislative changes should be developed and adopted by June. If they come into force, this may lead to higher prices in catering establishments and for accommodation services, while additional costs are likely to be shifted to consumers. The HoReCa sector has enjoyed a preferential VAT rate in recent years, a measure introduced to support an industry affected by successive crises: COVID-19 and the energy crisis.