VAT IN FRENCH RESTAURANTS & CAFÉS REDUCED FROM 19.6% TO 5.5%

In a sign of the times, the French government has shown imagination and reduced VAT in all restaurants and cafés throughout France effective from today (1/7/09). The rate falls from 19.6% to 5.5%. The VAT rate applied to restaurants in Ireland is 13.5%. Duty levied on a bottle of wine here is €2.98 inc vat, the highest in the EU.