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German Coalition Government Approves 7% Reduced VAT for Hospitality Food Sales Starting January 2026

    The German coalition government of CDU and SDP approved its draft budget on 30 July 2025 The budget includes reinstating the 7 percent reduced VAT rate for food sales by hospitality businesses The change will take effect on 1 January 2026

Source: vatcalc.com

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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