From 1 July, the reduced rate of value added tax of 9% will apply to books, restaurants and catering services, baby food and diapers. The rate is temporary and will be valid until December 31, 2021, according to the Revenue Agency.

Not only hoteliers, but also publishers and distributors of books and textbooks, including electronic editions, will benefit from the change in the VAT Act. The amendments also cover retailers of children’s products – baby and children’s food, diapers and other hygiene items, which are listed in the new VAT Act.