Palma.The Balearic Commerce Federation (Afedeco) yesterday declared its firm opposition to a possible increase in tourist business VAT, which they said would have a devastating effect on the sector and more widely consumer confidence in the Islands.
Afedeco said that any such hike would seriously jeopardise the fragile recovery of the Balearic economy. Tourism is the only real chance of regional growth in the immediate future.
Meanwhile, Mabel Cabrer, the Partido Popular's (PP) Parliamentary spokeswoman in the Balearics said that she believed it would be an error to raise VAT in tourist businesses because it would then be classed as general Value Added Tax and provide no economic stimulus in the sector
We believe that it is in the general interest of the Balearics for there to be no increase in VAT in tourist businesses, said Cabrer. Partido Popular President José Ramón Bauzá must make it clear to Central Government that such a move would prejudice the economic performance of the Balearics, a region so greatly dependent on tourism.
No comments
To be able to write a comment, you have to be registered and logged in
Currently there are no comments.