SPAIN’S imminent IVA (VAT) hike will be ‘catastrophic’ for Andalucia’s golf courses, the Junta has warned.
New rates, set to come in on September 1, will equate to an eye-watering rise from 8% to 21% for the golf industry.
This is because golf courses, which previously benefitted from a reduced tax rate thanks to their connection to tourism, have now been reclassified as ‘sports’ venues.
Now Andalucia tourism boss Rafael Rodriguez has written an urgent letter of complaint to the Spanish government asking them to think again.
He argues that while golf is obviously a sport, it is also closely linked to tourism.
He claims that the new tax rise will affect golfers coming to the region on holiday.
Andalucia receives tens of thousands of golfers from the UK and other northern European countries each year, boosting the tourist industry and bringing jobs and investment.