The government is extending for another month “measures to mitigate the fuel price hike for September through tax cuts,” the finance ministry said in a statement on Tuesday. This support was expected to end on Tuesday, August 31.
For example, during the month of September, “the ISP (Petroleum Products Tax) discount will be maintained, which corresponds to a reduction in the VAT rate from 23% to 13%”. As for the compensation through the ISP’s reduction of additional VAT revenue, due to changes in fuel prices, “the discount will also remain unchanged next month,” added the ministry supervised by Fernando Medina.
In addition, “the update of the CO2 tax will be suspended for another month”.
Given all the measures in force, the ministry says that “the reduction in the tax burden is 28.2 cents per liter of diesel and 32.1 cents per liter of petrol”.
The cabinet is also extending the ISP discount by six cents per liter for colored and marked agricultural diesel by one month, until the end of September, for applications in the primary sector (agriculture, aquaculture and fisheries).
It is recalled that the Prime Minister, António Costa, pledged increased support to families and businesses in July. New measures will be announced next Monday, September 4.
(News updated at 7:24 PM)
Source: DN
