The government’s bill exempting a list of foodstuffs from VAT was sent to the Assembly of the Republic this Tuesday, with the diploma stating that the measure includes fresh, chilled and frozen vegetables, meat and fish.
The basket – now subject to parliamentary approval – indicates the type of products that fall under the different categories, specifying, for example, that 0% VAT is applied to cheeses, yoghurts, including pasteurized ones, as well as meat and edible offal, fresh or frozen, from chicken, turkey, pork and beef.
At the fish casein addition to fresh (alive or dead), refrigerated and frozen, dry and salty foods are also included.
The list released on Monday, following the signing of the tripartite pact between the government and the food production and distribution sectors, already stated that rice and pasta were on the list, and the proposal now sent to parliament says that in the basket pasta and similar dry pasta, with the exception of stuffed rice and rice in the form of bleached, polished, glazed, stewed, broken rice.
The diploma also confirms that this exemption entitles the holder to a deduction (zero rate) of VAT, temporarily applicable from April to October.
After approval by the General Assembly of the Republic and promulgated by the President of the Republic, the retail and food distribution sector will have 15 days to pass on this VAT exemption in the sales prices to the public, after publication in the Diário da República.
Costa expresses confidence in the partners of the agreement
In addition, the Prime Minister stated, also this Tuesday, that trusts that the entities signatory to the zero VAT agreement covering 44 essential foodstuffs will fulfill their obligations and stresses that the state will do its part.
“I trust first and foremost those with whom I signed the agreement. I am sure that the State will also fulfill its obligations, whether it is to reduce VATor follow-up and monitoring, in collaboration with other entities, of the evolution of prices,” declared António Costa in his speech at the end of the Parliamentary Days of the PS in Tomar.
With the agreement reached on Monday between the State, food distribution and producers, the leader of the executive branch defended that there are now “conditions for doing together what matters most to the Portuguese”.
“The main thing is not to discuss whether it is A, B or C’s fault, because as far as the culprit is concerned, we know very well: it really is you.” [Vladimir] Putin, it is really the brutality of this invasion that is having an impact on the global economy,” he pleaded, receiving applause from socialist deputies.
What is fundamental, according to António Costa, “is that, from manufacturing to retail and the state, everyone, in solidarity and good faith, works together to respond to the essential”, which classifies as “there is a way to control inflation, lower the price and stabilize the price so that Portuguese families can have stability and more confidence in the coming months
Source: DN
