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COVID-19: Extension measures – Reduced VAT rate masks and deferral VAT payments till June 30, 2021, reduction penalty and interest rates late payment VAT & refunds

Extended till June 30, 2021:

  • The reduction of VAT to 6% for masks and hydroalcoholic gels
  • Deferrals on request of the payment of personal income tax, corporate tax, withholding tax, and VAT, for companies that can prove that they are affected by the pandemic

Interest rate for late payment of VAT and excise duties and the interest rate on refunds is reduced to 4% and 2%, respectively, which is aligned with the rates for income taxes. In addition, the fine for late VAT payment is reduced from 15% to 10%. The reductions apply for the second quarter of 2021.

Source Orbitax

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