Updates to our Terms of Use

We are updating our Terms of Use. Please carefully review the updated Terms before proceeding to our website.

Thursday, December 7, 2023
Courthouse News Service
Thursday, December 7, 2023 | Back issues
Courthouse News Service Courthouse News Service

Belgian Sex Shop Owner Loses Bid for Tax Break

(CN) - The owner of a sex shop in Belgium can't get a discounted tax rate on income by classifying his private video screening rooms as public, the EU high court ruled.

The owner of the Erotic Center in Bruges claimed that his "cubicle cinema" fell under a statute calling for a reduced 6 percent tax rate under Belgian value added tax (VAT) law for "admissions to a cinema."

The Belgian tax authority disagreed and the Court of Justice upheld its decision, ruling that customers who view films from private rooms can't receive the same tax breaks applicable to regular cinema admissions.

The Luxembourg court ruled that the discount only applies to screenings that are available to member of the public who pay an admissions fee for the right "to enjoy cultural and entertainment services," according to an EU press release.

The sex shop is taxed at the rate for "automated recreation devices" at 21 percent, the ruling states.

Categories / Uncategorized

Subscribe to Closing Arguments

Sign up for new weekly newsletter Closing Arguments to get the latest about ongoing trials, major litigation and hot cases and rulings in courthouses around the U.S. and the world.