The president of the Federación Andaluza de Empresarios de Playas (Faeplayas), Norberto del Castillo, has said that chiringuitos in Andalucia will not be applying the July 1st IVA increase from 16% to 18%.
This move will mean that the beach bars will make less profit this year but they believe that this is in the best interests of everyone, particularly the tourists.
With tourists already spending less than in previous years, a price hike is the last thing anyone wants and the bars are willing to forego extra profits until next year. In addition, a price hike would mean reprinting all menus and other documents, not a cheap exercise.