Spain’s arts and entertainment sector faces “disaster” as a result of the government’s decision two years ago to apply a 21-percent sales tax to movie, concert and theater tickets, according to an open letter from industry representatives presented to Prime Minister Mariano Rajoy last week.
....Sales tax, or VAT, was raised from eight to 21 percent in September 2012. Since then, say sector representatives, there has been a 30-percent drop in cinema, theater, concert and dance attendances, along with a “drastic reduction in the ability to produce new content, one that will be difficult to recover from, and that has badly hit businesses, which are closing down: exposing the total uselessness of a measure that is as absurd as it is destructive.”Because the competitors have lower taxes;
Spain is alone among EU nations in imposing such a high level of sales tax on the arts. In France the figure is five percent; in Greece, nine percent, and 13 percent in Portugal.That's entertainment!