Abolish the flat-rate meal plan, recommends a new study

Meal plan flat ratea tax break for meals directly in cash, was introduced by the Ministry of Finance under the leadership of Alena Schillerová as part of the tax package effective from the beginning of 2021. The aim of the flat rate was to expand the possibilities of employers in providing benefits and offering them to employees who previously did not have access to them.

According to the Center for Economic and Market Analysis, the food plan did not meet the expectations of the Ministry of Finance. “It is dysfunctional from an employee meal support standpoint, because virtually no new entrants are added to the system. of them use the tool for its intended purpose, which is to pay for meals during working hours,” says Jan Šinl, CETA analyst.

According to CETA data, 556,000 people are now using the flat-rate meal plan, food stamps 1.2 million people receive it and 1.6 million people receive a discounted lunch in the company canteen. Meal plan flat rate according to last year’s survey Among the 600 companies, the chambers of commerce are mainly used by small businesses that do not have canteens, nor did they previously offer meal vouchers to their employees.

According to analysts, the lump sum is more of a tool for tax optimization, and therefore also has negative effects on state budget. According to CETA estimates, the introduction of the flat-rate meal plan will save municipalities and the state 3.8 to 5.6 billion crowns in 2022. In the coming years, the tax impacts could increase many-fold, depending on how companies, under the pressure of the current difficult situation, will decide to switch to a flat-rate meal plan.

Because of all of this, CETA says the meal plan should be abolished.

Restaurants and cafeterias will also lose a lot of revenue this year due to the introduction of the flat rate meal plan. CETA estimates speak up to 10.4 billion crowns. Surveys from the CETA questionnaire show that food stamp users spend a quarter less on lunch and eat twice as much lunch in restaurants than food stamp users.

“To give you an idea, this means that the restaurant loses every fifth lunch due to the forfeit. Customers simply don’t think about it and look for cheaper substitutes,” says Luboš Kastner, entrepreneur in the gastronomy sector and board member of the Association of small and medium-sized enterprises.

On the contrary, in comparison, meal vouchers and canteens did very well. Meal vouchers and discounted lunches in canteens generate SEK 19.5 and 31.6 billion in annual sales, respectively.

As Pavel Suchánek, nutritionist at the Institute of Clinical and Experimental Medicine (IKEM) points out, catering for employees in canteens is also very interesting from another point of view. It ensures a certain regularity of diet, variety and also quality, which is important for the health and performance of employees. “The effects of lack of variety in diet have been shown by COVID, increasing problems with obesity or type 2 diabetes will cost the public health system billions of kroner,” says Suchánek.

However, not all companies can afford to set up their own canteen. According to CETA, food stamps are an effective alternative, but according to Michael Fanta, an analyst at CETA, several adjustments need to be made. their aim should be to support meals during working hours and at the same time reduce the administrative burden for all parties involved.

CETA proposes to ban paper food stamps and replace them with digital ones and limit the collection of the allowance so that food stamps do not become a parallel currency, but a useful means of eating during working hours.

Restaurateurs would appreciate it too. “The digital meal voucher represents zero cost for gastronomy, which restaurants desperately need now,” confirms Luboš Kastner.

According to him, restaurants are having an extremely difficult time, when their costs are soaring and the number of guests is declining. This can be seen especially during lunches, the number of “changemakers” has decreased by about half, according to Kastner. “In Prague, the price increase is passed on to the guest. Unfortunately, this is not possible in villages and smaller towns. That’s why there is a lack of profitability and restaurants are going bankrupt,” explains the entrepreneur, adding that cafes in big cities are in the best position right now.

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