The measure exempting a basket of 46 food products deemed essential from VAT takes effect this Tuesday, with food retailers having 15 days to factor this exemption into retail prices.
The list of food products that will be exempt from VAT – following a tripartite pact signed between the government and the food production and distribution sectors – includes fresh, chilled and frozen vegetables, meat and fish, as well as rice and pasta, cheeses, milk and yoghurts and fruits such as apples, pears, oranges, bananas and melons, three types of legumes, or even plant-based drinks and yogurts, among others.
The products were chosen taking into account the healthy food basket of the Ministry of Health and data from distribution companies on the products most consumed by the Portuguese.
This measure, which aims to counter the effects of food on household income, will be in place until the end of October, with the government estimating that it will contribute 0.2% to reducing inflation in 2023.
While food retailers have up to 15 days to factor in the consumer sale price of the VAT rate cut from 6% to 0% on that basket of 46 products, signs are already beginning to announce that they will be taking the measure from today. , the day it comes into force, namely the supermarket chain Aldi.
In a statement sent to editors on Monday, Aldi announced that “the PVP [Preço de Venda ao Público] the final price without VAT will be visible through special price labels, stating – “item VAT 0%” –, so that customers can easily identify these products on the shelves, as well as the final price to be paid, without additional calculations and simplification, so your shopping experience.
“After payment, the customer can confirm the VAT applied to each product on the respective proof of purchase,” adds the chain of German origin, which says it wants to implement the measure “in a clear and transparent way”.
Asked about the measure, the Prime Minister, António Costa, said at the end of Monday’s extraordinary council of ministers that he hoped everyone would do their part, referring to the pact for the stabilization and reduction of food prices signed between the government, the Portuguese Association of Distribution Companies (APED) and the Confederation of Farmers of Portugal (CAP).
“We all have to do our part. The state has already done its job [isentando de IVA os produtos]said António Costa, pointing out that he was sure that the partners who signed the said pact “will do their thing”.
Source: DN
