VAT rate on Restaurants

From July 1, sales tax on food served in restaurants and cafes in France will be cut from 19.6 per cent to 5.5 per cent.

Announcing the news, France's economy minister Christine Lagorde said: "The reduction in VAT is going to let France conserve and improve its culinary reputation." The cost in lost revenue would be offset by the increase in restaurant business, Lagorde added.

Do you think that we should follow the French example?

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