Tax rates for restaurants 2019

You are thinking about your own restaurant business, but you do not know how much tax you will have to pay on the products and services offered? Or maybe you already have a restaurant and you’re wondering if there have been any changes in tax issues? If, to any of the questions you answered: „yes”, then in the article you will find information regarding Tax rates for restaurants in 2019.

Working in the catering industry is not an easy job. Throughout Poland in the Employment Offices you will find thousands of ads for catering jobs. The demand for employees is huge, many people are also thinking about their own business. What is the situation with taxes in the restaurant industry?

What VAT rates apply to the catering industry in 2019?

Determining the tax rate for restaurants is not an easy matter, and sometimes it is debatable. It is up to the entrepreneur to match the right one with the goods and services he offers. Currently, there are three rates, namely:

• 8% VAT applies to the so-called “food”. catering service, consisting in preparing and serving the meal on the spot, that is in the restaurant. The dishes served in the premises are covered by this rate.
• 23% VAT applies to products such as: teas and coffees, carbonated soft drinks, mineral waters, alcoholic drinks above 1.2%, mixed alcoholic and non-alcoholic drinks in which the alcohol content exceeds 0.5% and other goods in an unprocessed state.
• 5% VAT applies to takeaway products, ready meals and meals. This is because they are not treated as a catering service. However, this rate is quite controversial and there is no telling when it will disappear forever. Here, as in every case, it is up to the entrepreneur to decide which rate he will settle for. You need to think carefully because if the tax authority audits you and has objections, you may have to correct the tax. Catering outlets such as casserole trailers, kebab restaurants, restaurants located in shopping malls, as well as mobile catering, i.e. food trucks, are most likely to benefit from the 5% VAT rate.

As you can see, Restaurant tax rates 2019 have not changed, but it is worth applying ourselves to their correct interpretation. Despite complicated tax regulations, catering business is a very good idea, because the appetite of Poles for good food is growing more and more.