Denmark’s Fiscal Watchdog Opposes Lower Food VAT, Citing Inefficiency and Administrative Burden

• Denmark’s fiscal watchdog advises against introducing lower VAT rates on food.
• Differentiated VAT is seen as untargeted and administratively complex.
• The watchdog suggests excise duties on CO2-intensive goods or cigarettes are more effective for climate and health goals.
• The government plans to introduce differentiated VAT on food, according to Borsen.

Source: news.bloombergtax.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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