OpenLobby.EU
Explore

VAT package on travel and tourism

Taxation

As announced in the “Action Plan for fair and simple taxation to support the recovery strategy”, the Commission intends with this initiative to assess and revise the special VAT scheme for travel agents and the VAT rules on passenger transport. Additional measures might be considered with a view to supporting the travel and tourism sectors, hardly hit by Covid-19 restrictions.

Links

Public consultation

ID: 13698

Lobbying Activity

25 responses

Airlines for Europe opposes VAT on air transport services

Airlines for Europe, 16 Oct 2025

A4E urges the Commission to retain the current VAT exemption for air transport services. They argue that changes would increase costs, harm competitiveness against non-EU carriers, and add administrative burdens without environmental benefits.
This would protect them from additional costs and avoid regulatory compliance burdens already projected to reach €27.5 billion by 2030.
EU Member States lose potential tax revenue from air transport services currently exempted from VAT.

Road transport industry urges VAT exemption for cross-border coach services

International Road Transport Union Permanent Delegation to the EU, 16 Oct 2025

The organization requests EU-wide VAT exemption with full input credit for coach transport, matching treatment of maritime and air transport. They argue current fragmented rates create administrative burdens especially for small companies.
This would eliminate cross-border VAT filing requirements and reduce compliance costs for small operators.
Member States lose VAT revenue from coach services currently taxed at standard rates.

SNCF Group urges zero-rated VAT for international rail travel

Société nationale SNCF, 16 Oct 2025

SNCF calls for extending zero-rated VAT to cross-border land transport to match aviation. They also suggest administrative simplifications like a one-stop shop for tax returns. Finally, the group requests aligning input tax rules across all transport modes.
Rail operators would achieve price parity with aviation and lower compliance costs.
Airlines would lose their current financial and administrative tax advantage over rail.

Booking.com Urges VAT Reform to Tax Non-EU Travel Platforms

Booking.com B.V., 16 Oct 2025

Booking.com wants reforms that bring non-EU tour operators into the VAT scheme when selling EU travel. They request expansion of the VAT One Stop Shop to avoid multiple registrations. They also seek the ability to opt out of the special scheme for business-to-business sales.
This would create equal treatment with non-EU competitors and reduce compliance burdens.
Non-EU travel platforms lose their current tax advantage when selling European destinations.

IATA urges EU to preserve VAT exemption for international air transport

International Air Transport Association, 16 Oct 2025

IATA calls on the European Commission to preserve the VAT exemption and zero-rating for intra-EU and international air transport services, as well as related supplies, as outlined in Article 148 of the VAT Directive. They argue these provisions are crucial for maintaining the international competitiveness of European airlines and preventing double taxation.
This would avoid increased compliance costs and maintain competitive parity with non-EU airlines.
Remote regions, island connectivity, and tourism-dependent areas would lose connectivity as demand falls.

Bolt urges VAT harmonisation for all international passenger transport modes

Bolt, 16 Oct 2025

Bolt requests zero-rating for all international passenger transport, simplified place of supply rules using departure location, uniform reduced VAT rates for domestic road transport including ride-hailing, and lowest VAT rates for micro-mobility services.
This would eliminate compliance costs from multiple VAT registrations and distance calculations.
Air and sea carriers lose their current exclusive tax advantage over land transport.

European Boating Industry demands reduced VAT for nautical tourism

European Boating Industry, 13 Oct 2025

The group urges the Commission to allow reduced VAT rates for boat charters and marinas. They argue water-based accommodation should be treated the same as hotels and campsites.
Lower taxes would increase industry competitiveness and support thousands of European manufacturing jobs.
Hotels and campsites would lose their tax advantage over nautical tourism competitors.

Danish Shipping opposes any changes to passenger transport VAT rules

Danish Shipping, 8 Oct 2025

The organization requests that the current VAT system for passenger transport remains unchanged. They argue the existing framework is efficient and fair, and that any modification would create unnecessary administrative burdens and market distortions.
This would preserve administrative efficiency and avoid new compliance costs for shipping operators.
Member states lose potential tax revenue from eliminating the Article 148 exemption.

ECTAA demands VAT reform to level tourism playing field

ECTAA, Group of National Travel Agents' and Tour Operators' Associations within the EU, 13 Oct 2025

ECTAA wants non-EU travel agents to pay EU VAT to ensure fair competition. They also request an opt-out for business sales and simpler methods for calculating tax margins.
This would cut accounting costs and improve competitiveness against foreign rivals.
Non-EU travel agents would lose their current tax-free advantage within Europe.

Business and Science Poland defends zero aviation VAT

Związek Pracodawców Business & Science Poland, 16 Oct 2025

The organization demands maintaining the 0% VAT rate for international air transport. They propose a single reporting mechanism to simplify complex administrative compliance procedures. All legs of international bookings should be tax-free to encourage multimodal travel.
EU transport operators would avoid higher ticket prices and reduced passenger demand.
Environmental groups lose a fiscal tool intended to reduce aviation's carbon footprint.

European Passengers' Federation urges lower VAT for rail travel

European Passengers' Federation, 16 Oct 2025

The federation recommends a harmonised reduced VAT rate for all transport modes to ensure fairness. They also call for pricing that integrates environmental costs.
Reduced taxes would help make rail travel significantly more affordable.
Airlines would lose the financial advantage of tax-free international flights.

Czech Chamber of Commerce urges flexible VAT rules for tourism

Hospodářská komora České republiky, 15 Oct 2025

The Chamber proposes returning to a global margin calculation for entire tax periods. They also request an optional opt-out from the special travel VAT scheme.
This would reduce administrative costs, improve company liquidity, and restore tax neutrality.
Hotels would lose the current competitive advantage they hold over travel agents.

French rail association urges zero VAT for international trains

Union des Transports Publics et ferroviaires, 16 Oct 2025

UTPF calls for a zero-VAT rate on international land transport across the entire journey. They advocate for ending tax exemptions for more polluting modes like aviation and shipping. Furthermore, the organization requests simplified administrative procedures for rail operators to reduce current burdens.
This would improve the competitiveness of rail and provide more funds for network investment.
Aviation and maritime sectors would lose their competitive advantage from current tax-free status.

AIRE urges EU to keep airline VAT exemptions

Airlines International Representation in Europe, 14 Oct 2025

AIRE demands preserving the VAT exemption for international air transport under existing law. They argue taxing international flights is technically impractical and causes administrative inefficiency.
Retaining exemptions helps avoid higher operating costs and maintains passenger demand levels.
Consumers would face more expensive travel and reduced international flight connections.

German auditor association demands clearer EU travel VAT rules

Institut der Wirtschaftsprüfer in Deutschland e.V., 14 Oct 2025

The IDW requests clear definitions for taxable persons and travel services. They demand uniform application of the margin scheme across the EU. They also seek explicit rules for VAT disclosure and deduction rights.
Standardized rules would simplify auditing and reduce compliance risks for businesses.
Non-EU tour operators could lose tax advantages if rules are tightened.

Consultation response

Confédération Fiscale Européenne, 16 Oct 2025

CFE Tax Advisers Europe welcomes the opportunity to respond to the European Commissions consultation on the VAT rules applicable to the travel and tourism sector, and in particular to the Tour Operators Margin Scheme (TOMS). CFE is of the view that TOMS, in its current form, no longer fulfils its…

Spanish bus industry demands tax parity with air travel

CONFEDERACIÓN ESPAÑOLA DE TRANSPORTE EN AUTOBÚS, 15 Oct 2025

CONFEBUS requests excluding international bus transport from VAT rules. They also demand clearer multilingual information to simplify tax procedures.
This change would reduce administrative burdens and lower costs for SMEs.
Aviation and maritime sectors would lose their current unfair tax advantage.

Consultation response

Koninklijk Nederlands Vervoer, 5 Aug 2025

The VAT for passenger transport by coach varies by EU country. Some countries apply a high VAT rate, others a low rate, and some even a zero rate. For the sector, the different systems also pose a heavy administrative burden. The sustainable nature of bus travel argues for a zero VAT rate. Coaches…

Consultation response

Confesercenti, 16 Oct 2025

Impact on SMEs Small and medium-sized enterprises (SMEs) play a vital role in the European travel and tourism sector, representing a significant proportion of travel agencies and tour operators across the EU. The complexity and inconsistency of the current VAT regime, particularly the application…

Consultation response

Fédération Nationale des Transports de Voyageurs, 16 Oct 2025

Le mécanisme actuel de TVA pour les services de transport internationaux de passagers par autocar constitue une charge administrative importante pour les entreprises et un véritable frein au développement des services intra-communautaires notamment pour les PME. Au delà des coûts de structure…

Consultation response

Association of Passenger Shipping Companies, 16 Oct 2025

Θέμα: Διατήρηση του μηδενικού συντελεστή ΦΠΑ στις διεθνείς θαλάσσιες επιβατικές μεταφορές Η ευρωπαϊκή επιβατηγός ναυτιλία αποτελεί στρατηγικό πυλώνα της Ε.Ε., διασφαλίζοντας κινητικότητα, κοινωνική συνοχή, οικονομική δραστηριότητα και γεωγραφική συνέχεια, ιδίως για νησιωτικές και απομακρυσμένες…

Consultation response

Σύνδεσμος των εν Ελλάδι Τουριστικών και Ταξιδιωτικών Γραφείων, 16 Oct 2025

Please see attached document.

Consultation response

FEDERACION NACIONAL EMPRESARIAL DE VEHICULOS DE ALQUILERDE CON Y SIN CONDUCTOR, 14 Oct 2025

Se adjunta archivo

Consultation response

, 1 Oct 2025

With regard to point two, VAT rules for passenger transport, we would like to make the following comments: The current VAT framework gives international air and sea transport structural benefits that disadvantage rail transport: tax exemptions for input services in air and sea transport create a…

Consultation response

Federatie van Belgische Autobus en Autocarondernemers en reisorganisatoren, 11 Aug 2025

The current VAT treatment of passenger transport by coach varies significantly across EU member states. While some apply standard rates, others offer reduced or zero rates. This fragmented approach imposes a disproportionate administrative burden on the sectorparticularly for operators active in…