Who does this benefit ? Looking at the breakdown :
breakfast 100 euros with 13% tax and a room rate of 137 at 7% tax
....it's the German taxman : it appears that more tax then strictly necessary was levied. If it had been split at, say, breakfast Eur20 at 13% and room Eur217 at 7%, then less tax would be due and the hotel would have kept more of the OPs money.
Originally Posted by
FozBoy
Because of the different VAT rates for lodging and restaurants, a breakfast-inclusive room rate (and also half-board and full-board rates) has to be split into two for tax purposes using a pro rata formula.
Aren't there any rules that require the pro-rata formula to reflect the actual value of the goods and services in each tax category ?