Sunday, May 03, 2009

France lowers taxes to spark job growth

Boston Globe: "France tax cut will give diners a break"

The French government is offering some good news for tourists and beleaguered consumers in France: The price of dining out is expected to go down soon.
The value-added tax, which is applied on a range of items in restaurants, will be reduced to 5.5 percent from 19.6 percent, beginning July 1, the office of President Nicolas Sarkozy said last week.
The change, presented as a "contract for the future" between the government and the hospitality industry, includes a commitment by restaurateurs to pass along the tax savings in the form of lower menu prices.
The reduction could also improve the dining experience before the bill is presented. The agreement on taxes accompanies a goal of adding tens of thousands of jobs in the sector, which restaurateurs say will lead to improvements in service.
The additional hiring would be paid for in part by increased restaurant revenues, the government said.
Imagine that. Here in America, Sizzler would be looking for a government bailout.

2 comments:

Anonymous said...

http://www.boston.com/news/local/breaking_news/2009/05/april_state_rev.html

They won't be trying that on Beacon Hill.

The Sanity Inspector said...

Tony Blair once told a story about his time as a waiter in France. The rule was to put tips in a jar and share them equally among the waiters. After a while he discovered he was the only one contributing. This, he said, was his introduction to practical socialism.