ECONOMY

Ionian hoteliers protest against lower VAT rates on Aegean islands

A civil war of sorts appears to have broken out among Greek hoteliers as seven Ionian Sea associations of owners of hotels, rooms and food service enterprises have sent a letter of strong protest to the ministers of economy and finance regarding the favorable value-added tax status that their counterparts on the Aegean islands enjoy.

The associations say they are not against the reduced VAT rates for remote and unpopular islands, but are vehemently opposed to lower rates on islands such as Myconos and Rhodes. Instead, they say Ionian islands such as Ithaca (pictured), Paxi, Othoni and Erikousa should have benefited from such a measure.

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