Check the VAT rates for your products and services in Europe in 2021 and understand the VAT rate system in force in the 27 EU Member States.
VAT rates in force from 1st January 2021
The VAT rates in force from the 1stJanuary 2021 in the 27 EU Member States and beyond are as follows:
|Pays||Code||Taux super-réduits (%)||Taux réduits (%)||Taux parking (%)||Taux standard (%)||Changements 2021|
|Autriche||AT||–||10% / 13%||13%||20%|
|Belgique||BE||–||6% / 12%||12||21%|
|Chypre||CY||–||5% / 9%||–||19%|
|Grèce||EL||–||6% / 13%||–||24%|
|Finlande||FI||–||10% / 14%||–||24%|
|France||FR||2,10%||5,5% / 10%||–||20%|
|Croatie||HR||–||5% / 13%||–||25%|
|Hongrie||HU||–||5% / 18%||–||27%|
|Irlande||IE||4,80%||9% / 13,5%||13,5||23%||x|
|Italie||IT||4%||5% / 10%||–||22%|
|Lituanie||LT||–||5% / 9%||–||21%|
|Lettonie||LV||*||5% / 12%||–||21%|
|Malte||MT||–||5% / 7%||–||18%|
|Pologne||PL||–||5% / 8%||–||23%|
|Portugal||PT||–||6% / 13%||13%||23%|
|Roumanie||RO||–||5% / 9%||–||19%|
|Suède||SE||–||6% / 12%||–||25%|
|Slovénie||SI||–||5% / 9,5%||–||22%|
|Irlande du Nord||XI||5%||20%|
Please note: this information is valid on the date of publication, but is subject to change at any time.
Changes in VAT rates in the European Union in 2021
The following is a list of changes to the VAT rates for certain categories of products and services in each EU country:
- GERMANY: the VAT rate on the sale of e-books, feminine hygiene products and long-distance train journeys has been reduced from 19% to 7%.
- AUSTRIA: the VAT rate on sales of e-books was reduced from 20% to 10%.
- CROATIA : the reduced VAT rate of 13% now applies to the preparation and serving of meals (including take-away meals), as well as to services related to copyright, composers and artists, and to rights holders exercising this activity under a specific regulation. However, the reduction of the standard rate from 25% to 24% has been indefinitely postponed.
- HUNGARY: the VAT rate for hotel accommodation and similar short-stay tourist accommodation services is now 5%.
- ITALY: the VAT rate on feminine hygiene products was reduced from 22% to 5%.
- GREECE: the VAT rate on protective helmets and protective articles for infants has been reduced to 6%.
- NETHERLANDS: the VAT rate for the sale of e-books has been reduced from 21% to 9%.
- POLAND: no changes expected, but note that since 01/11/2019, the VAT rate for the sale of e-books has been reduced from 23% to 5%.
- PORTUGAL: as the budget for 2020 is still under discussion, no change in VAT rate applies on 01/01/20, however as soon as the budget is voted, the VAT on bullfighting activities will increase from 6% to 23%. It will decrease from 23% to 6% on:
- wastewater treatment
- entrance fees, guided and unguided visits to museums and certain listed buildings of national, public or municipal interest ;
- entrance fees for zoos, botanical gardens and aquariums
- CZECH REPUBLIC: VAT on the supply of heating and air-conditioning equipment has been reduced to 10%.
- SLOVAKIA: a reduced VAT rate of 10% is now in force for sales of periodicals (newspapers, magazines and journals published at least 4 times a week). In addition, the list of foods benefitting from the reduced 10% rate is also extended to so-called healthy foods like dairy products, natural honey, certain vegetables, fruit and pastries.
- SLOVENIA: VAT on sales of electronic books and periodicals has been reduced to 5%.
See our Country Briefs: VAT rates.
What is the VAT rate for your products and services?
The VAT Directive sets out a legal framework for VAT rates within the European Union, but leaves Member States free to determine the level of rates and to some extent the product categories.
- Standard VAT rate: this is the rate that EU countries must apply to all non-exempt goods and services. It may not be less than 15%. However, the legislation does not set a ceiling.
- Reduced VAT rates: EU countries have the option of applying one or two reduced rates, which apply only to goods and services listed in Annex III of the VAT Directive.. They do not apply to services offered by electronic means; they may not be lower than 5%. .
Examplesof products and services eligible for reduced rates: food, passenger transport, restaurants, works of art, etc.
There are a number of exceptions the standard rules. For mainly historical reasons, many EU countries For mainly historical reasons, many EU countries were allowed, were allowed, under certain conditions, to be exempt from the rules for a transitional period..
Ils peuvent ainsi continuer à appliquer des taux inférieurs à 5 % (y compris zero rate and super-low rates) – and reduced for goods and services not listed in the Directive.
Parking rates: Member States who, before 1st January 1991, applied a reduced VAT rate to products not listed in Annex III of the VAT Directive have been authorised to apply a “parking rate” on a provisional basis. This may not be lower than 12 %, , to allow them to move towards the standard rate more easily.
Super-reduced rates: below5%, apply to only a few categories of goods.
EU Member States have some flexibility when it comes to determining the VAT rates, but they cannot have a standard rate below 15% or a reduced rate below 5% – with some exceptions.
Please note: the VAT rates for domestic transactions are also applied to international transactions – Intra-Community acquisitions and imports.
Faced with such diverse procedures, the complex paperwork and ever-changing regulations, experience shows that many companies benefit from entrusting their VAT compliance to specialists. Your tax agent or fiscal representative can ensure all your reporting obligations.
Find out more about our fiscal representative services, or contact us.