VAT on octopus and other seafood will increase from 5% to 23%. Exotic spices will also be at a higher stake. What else will the new VAT matrix change?
We already know more about the new rates of tax on goods and services. Minister of Finance in justifying new shape Tax Ordinance declares that they will be compared to 23% and 8%, with one All goods in a given division, such as meat and edible offal or vegetables and certain edible roots and tubers, are to be charged. Rates generally are to be equalled down, but from this rule there will be exceptions to selected, few goods and services. What, then, will be subject to an increase in rates? They will increase in the case of:
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- raw spices (e.g. nutmeg, saffron, turmeric) — from 5% to 8%,
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- fruit and vegetable juices not containing 100% fruit or vegetables (these 100% will have a reduced rate 5%) – 23% at new rates,
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- seafood and processed seafood, caviar and caviar substitutes, as well as meals in restaurants based on these ingredients – with 5% to 23%,
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- ice – with 8% to 23%,
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specialist magazines – with 5% to 8%, which is the result of equalising the rate for all magazines, not only printed ones, but also published on various media (e-press). The journals will also not have to have a ISSN number to be covered by a reduced rate, which has so far been a condition to benefit from a reduced rate 8% VAT – this change is expected to enter from 1 April 2019.