HC Deb 05 July 1989 vol 156 cc159-62W
Mr. Speller

To ask the Chancellor of the Exchequer if he will list the rates of value added tax charged in each European country for (i) food in shops, (ii) food in restaurants, (iii) books, (iv) magazines, (v) newspapers, (vi) household fuel, (vii) rents, (viii) house purchase, (ix) children's clothing and (x) parish hall or community centres.

7. Mr. Lilley

The information available for each EC member state is set out in the following tables:

1. Food in shops1
Country Rate per cent.
Belgium 6.0
Denmark 22.0
France 25.5
Germany 7.0
Greece 6.0
Ireland 30.0
Italy 44.0,9.0
Luxembourg 53.0,6.0
Netherlands 6.0
Portugal 60.0,8.0, (6.0)
Spain 6.0
United Kingdom 70.0
1 Excluding luxury foods.
2 With certain exceptions, e.g. sweets, ice-cream, margarine which are standard rated at 18.6 per cent.
3 Alcohol and soft drinks other than fruit juices are liable at 25 per cent, in all circumstances, as is all food and drink supplied through a vending machine.
4 The lower rate applies to essential foodstuffs such as bread, pasta and fish.
5 The lower rate applies to meat, meat products, bread and butter.
6 The rate shown in brackets applies to the autonomous regions of the Madeira and Azores archipelagos. The zero rate applies to unprepared foodstuffs.
7 With certain exceptions including ice-cream, chocolates and similar confectionery, alcoholic and soft drinks, potato crisps and similar products and pet foods.

2. Food in restaurants
Country Rate per cent.
Belgium 17.0
Denmark 22.0
France 18.6
Germany 14.0
Greece 1—
Ireland 10.0
Italy 29.0
Luxembourg 6.0
Netherlands 6.0
Portugal 38.0 (6.0)
Spain 46.0, 12.0
United Kingdom 15.0
1 Greece has set its VAT rates at 6 per cent., 18 per cent., and 36 per cent., but full details about the applicability of the rates are not yet available.
2 Excluding the supply of food in luxury premises including luxury hotels.
3 Lower rates apply in the autonomous regions of the Azores and Madeira archipelagos.
4 The higher rate applies to services supplied in luxury hotels.

3. Books
Country Rate per cent.
Belgium 6.0
Denmark 22.0
France 2.1
Germany 7.0
Greece 1—
Ireland 0.0
Italy 0.0
Luxembourg 6.0
Netherlands 6.0
Portugal 0.0
Spain 6.0
United Kingdom 0.0
1 Information not available.

4. Newspapers
Country Rate per cent.
Belgium 0.0
Denmark 0.0
France 2.1
Germany 7.0
Greece 1—
Ireland 10.0
Italy 0.0
Luxembourg 6.0
Netherlands 6.0
Portugal 0.0
Spain 6.0
United Kingdom 0.0
1 Information not available.

5. Magazines
Country Rate per cent.
Belgium 6.0
Denmark 22.0
France 2.1
Germany 7.0
Greece 1—
Ireland 25.0
Italy 0.0
Luxembourg 6.0
Netherlands 6.0
Portugal 0.0
Spain 6.0
United Kingdom 0.0
1 Information not available.

6. Household fuel
Country Coal/peat/wood per cent. Oil per cent. Gas per cent. Electricity per cent.
Belgium 6.0 17.0 17.0 17.0
Denmark 22.0 22.0 22.0 22.0
France 18.6 18.6 5.5 5.5
Germany 214.0 14.0 14.0 14.0
Greece1 — — — —
Ireland 10.0 10.0 10.0 5.0
Italy 9.0 9.0 9.0 9.0
Luxembourg 6.0 6.0 6.0 6.0
Netherlands 18.5 18.5 18.5 18.5
Portugal 8.0 (6.0) 8.0 (6.0) 8.0 (6.0) 38.0 (6.0)
Spain 12.0 12.0 12.0 12.0
United Kingdom 0.0 0.0 0.0 0.0
1 Information not available.
2 Wood is taxed at the reduced rate of 7 per cent.
3 Lower rates apply in autonomous regions of the Azores and Madeira archipelagos.

Rent

The letting of immovable property is exempt from VAT in every member state, although some member states operate an option to tax in certain circumstances.

8. House purchase
Country Rate on new buildings per cent. Rate on secondhand buildings per cent.
Belgium 17.0 Exempt
Denmark 22.0 Exempt
France 18.6 Exempt
Germany Exempt Exempt

Country Rate on new buildings per cent. Rate on secondhand buildings per cent.
Greece1 — —
Ireland 10.0 2 Exempt
Italy 34.0, 19.0 34.0, 19.0
Luxembourg Exempt Exempt
Netherlands 18.5 Exempt
Portugal Exempt Exempt
Spain 412.0 Exempt
United Kingdom 0.0 Exempt
1 Information not available.
2 Or 10 per cent, if developed since 31 October 1972 and input tax credit was claimed.
3 Certain "low-priced" housing 4 per cent., others 19 per cent.
4 Or 6 per cent, if the first supply by a constructor of a residential dwelling.

9. Children's Clothing
Country Rate per cent.
Belgium 19.0
Denmark 22.0
France 18.6
Germany 14.0
Greece 16.0
Ireland 10.0
Italy 19.0
Luxembourg 12.0
Netherlands 18.5
Portugal 117.0, 12.0
Spain 12.0
United Kingdom 0.0
1 Lower rate applies in the autonomous regions of the Azores and Madeira archipelagoes.

10. Parish Hall or Community Centres Leasing of such buildings is exempt in all member states. For purchase (including construction), in other member states the rates in table 8 above generally apply. In the United Kingdom, the construction of new village halls and similar charitable community buildings will remain zero-rated, following clarification by the EC Commission of last year's judgment of the European Court of justice. The leasing of buildings is exempt unless the charities opt to tax the rents or unless the supply includes the admission to sports to other recreational facilities.