photo of pixabay Anti-effects Act COVID-19, signed by the President 8 October 2020, postpones the return to old VAT rates. This is driven by the need to provide appropriations in the budget to combat the pandemic.
Return to lower VAT rates will take place in the year following the year in which they will be met together two conditions:
a stabilising spending rule is applied in the standard version (Article 112aa Public Finance Act),
the values of the indicators will be achieved: the ratio of net sovereign public debt to gross domestic product not greater than 43% and the sum of the annual differences between the nominal result/gross domestic product ratio and the medium-term budgetary objective level not less than -6%.
VAT receipts are to go First, to treat patients, protect jobs and employees and provide liquidity support to companies.