Spain will cut VAT on gas to 5% from October, PM Sanchez said today. | Majorca Daily Bulletin reporter
Madrid01/09/2022 09:42
The Spanish government will cut value-added tax (VAT) on gas to 5% from 21% from October to reduce the impact of rising gas prices on household utility bills, Prime Minister Pedro Sanchez said today.
2 comments
To be able to write a comment, you have to be registered and logged in
What I don't understand is why IVA/VAT is being reduced, and as such the general tax payer is funding this, while the energy companies are allowed to continue with extraordinarily and excessively high profits. Surely Sanchez can compel the energy companies to do something under treat of massive "windfall taxes" that could be levied on them. @Stan As far as I know I am already paying 0% IVA on my electric component of my bill… again at a big cost to the tax payer. I'm not sure what the government can do beyond that outside of forcing energy companies to act (which is what they should do).
This help is welcome. Could there be help with the cost of Electricity Bills as well?