The Croatian government has presented an anti-inflation package to help citizens and businesses cope with the severe price increases and to prevent further dramatic increases. The package of measures is of a comprehensive nature, consisting of a reduction in value added tax on gas and heat , as well as on a wide range of food items and selected daily necessities, and a selective component that targets socially vulnerable segments of the population, or citizens of non-working age.
Value added tax ( VAT ) reduction overview
- 13%: VAT on heat supply (reduction from the current 25%, will apply permanently)
- 5%: VAT only on gas (it was reduced from 25%, it will be valid from 1 April 2022 to 31 March 2023 , then VAT will be 13%)
- 13%: VAT on pellets, briquettes, wood chips and firewood (reduced from the original 25%)
- 5%: VAT on food (meat and fish, eggs, fruit, vegetables, edible fats and oils, baby food, seedlings, fertilizers, pesticides (reduced from 13 %), butter and margarine (reduction from 25%)
- 13%: VAT on sanitary napkins and tampons (from 25%)
- 5%: VAT on tickets for sports, cultural and other events (reduction from 25 % and 13 %).
VAT rate changes would be effective as of April 1, 2022.
Source
See also VAT Rates in Croatia
