The finance ministry has issued a decree allowing employers to subsidise one meal daily for each employee working at his or her normal place of work with up to €6.20 (2016). The taxable benefit for the employee is the official rate for staff canteen meals of €3.10 in 2016.
The Supreme Tax Court has held that an employer’s subsidy to a commercial caterer charged with running the staff canteen is a taxable supply in respect of a free-of-charge employee benefit. There is therefore no input tax deduction.
