French Equestrians Protest Tax Law Change
French equestrians are gathering by the tens of thousands to protest against a tax law change which could threaten the lives of 80,000 horses and put more than 6,000 equine industry employees out of work.
At a time when Europe is still climbing out of the effects of the 2008 economic crisis, the modified law would increase the value-added tax (VAT) on equestrian activities from the current 7% to 20%, according to Florence Ciucci, general delegate for the Regional Equitation Committee of Ile de France Greater Paris area (CREIF). The new rate is scheduled to take effect on Jan. 1, 2014.
Currently, VAT across Europe is 20% for most industries, although certain sectors have benefited from reduced rates, such as basic food products and livestock. In France, the VAT for equestrian activities has had its reduced rate of 7% for the past 10 years. It is the only European country to have a reduced VAT rate for equestrian activities, and in June 2012 the high court of the European Union ruled that France did not have the right to apply a reduced TVA to equestrian activities.
The 13% tax increase would result in massive economic losses to the industry and would force tens of thousands of horse owners—including riding centers—to reduce the size of their herds or sell out altogether, Ciucci said. The country’s widely celebrated “Paris Horse Exposition,” currently in progress in the outskirts of Paris, has become a stage for many of the industry’s actors to speak out against what they call “the equitax
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