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<p>The cost of a holiday is determined by tour operators and travel agents. VAT will
be just one of the EU Exit factors that businesses will take into account when pricing
holidays.</p><p> </p><p>In the event of no-deal, the Government has prepared legislation
that would mean that sales of holidays to the EU would be free of VAT, as is the case
now for holidays to the rest of the world. If Parliament passes the Withdrawal Agreement,
there will be no change to the VAT treatment of holidays to the EU during the implementation
period.</p><p> </p>
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