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Updated Monday, March 22, 2010 10:19 am TWN, Reuters Belgium sex shop must pay full tax rate: ECJThe decision by the European Court of Justice — Europe's highest court — follows a dispute in Belgium involving a sex shop which levied value-added tax of 6 percent on its activities rather than the standard rate of 21 percent. The owner of the coin-operated Erotic Center in Bruges argued his business qualified for the lower rate — which applies to cinemas in Belgium — because it allowed customers to pay money to watch one or more movies. The court ruled the Erotic Center's cubicles did not meet the definition for a reduced VAT rate, which states that an establishment must be “available to the public on prior payment of an admission fee giving all those who pay it the right collectively to enjoy the cultural and entertainment services.” Subscribe to The China Post and save 25%. Click here |
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