VAT – Service Charges in Hotels and Restaurants – Withdrawal of Revenue Concession with effect from 1st September 2008.

The Revenue concession, whereby service charges in hotels and restaurants are not regarded as part of the taxable amount if they are distributed in full to staff, is being withdrawn with effect from 1 September 2008.

Further information is contained in the VAT Information Leaflet: Service Charges in Hotels and Restaurants.