On Tuesday, the Sejm received a draft amendment to the VAT act, submitted by a group of PiS deputies, providing for a temporary reduction in the rates of this tax to zero for food, fertilizers and gas to 5 percent. hot, and up to 8 percent. on fuel. VAT reductions are part of the so-called the anti-inflationary shield 2.0, the adoption of which by the government announced on Tuesday by Prime Minister Mateusz Morawiecki. The first reading of the bill in the Sejm is scheduled for Wednesday.
Anti-inflationary shield 2.0. Prime Minister Morawiecki gave details
As part of the second anti-inflationary shield, we are reducing VAT on food to zero and from 23 percent. up to 8 percent VAT on fuel – Prime Minister Mateusz said …
According to the project, the reduced rates are to apply from February 1 to July 31, 2022.
VAT tax reduction. Partially it will drop to zero
VAT on food and drinks currently covered by the 5% rate is to drop to zero.
From 23 to 8 percent. the rate of this tax is to drop on motor fuels: diesel oil, biocomponents constituting intrinsic fuels, gasoline, LPG gas.
For fertilizers, plant protection products, garden soil and other means supporting agricultural production, VAT is to drop from 8%. to zero.
VAT on gas is to drop from 8 percent. to zero, for thermal energy from 8 to 5 percent, and in the case of electricity, it will be reduced by 5 percent. VAT.
Over a dozen billion zlotys of savings for citizens
The total decrease in state budget revenues was estimated at approx. PLN 11.6 billion, of which the reduction of VAT on food and beverages is to translate into a decrease by approx. PLN 2.92 billion, in the case of fuels it is to amount to approx. PLN 3.11 billion , the decrease in VAT on fertilizers has a negative effect on the budget at the level of PLN 0.52 billion, for gas – about PLN 2.09 billion, for electricity – about PLN 2.30 billion, and for heat – about PLN 0.67 PLN billion.
Lowering the VAT rate to zero is to apply to such food products – taxed at a rate of 5 percent. – such as meat and fish and their products, dairy products, vegetables and fruit and their products, grains, milling industry products, cereal preparations and bakery products, some drinks, e.g. containing at least 20% fruit or vegetable juice, milk drinks and the so-called plant milks.
In the case of means used for agricultural production, VAT reduction from 8%. to zero, it will cover fertilizers, plant protection products, horticultural soil, products supporting agricultural production such as: agents improving soil properties, growth stimulants and growing media.
See also: Another PLN 15 billion will go to Poles. “Tusk mocks, and he himself proposed 36 zlotys”
PAP, tvp.info portal
# anti-inflationary shield