Government proposes abolishing book VAT to increase reading in Denmark
Denmark will abolish VAT on books to combat the growing reading crisis. The current 25% tax rate, the highest globally, is believed to hinder reading habits. Culture Minister Jakob Engel-Schmidt announced the proposal in the upcoming budget bill, aiming to save 330m kroner (£38m) annually. Other Nordic countries like Finland (14%), Sweden (6%), and Norway (0%) charge lower VAT rates on books. Sweden reduced its VAT in 2001, but increased book sales only among existing readers. Denmark sold 8.3m books in 2023 with a population of 6 million. The government plans to monitor price impacts; if book prices don't decrease, it may reconsider the policy.