Government Cites Studies: VAT Cuts May Lower Prices, Not All Savings Passed to Consumers

• Government responded to a parliamentary question from the Greens
• Referred to studies from the COVID-19 period and international data
• VAT cuts can sometimes lead to lower consumer prices
• Not all savings need to be passed on to consumers
• Measure also aims to support businesses on the supply side

Source: fiscal-requirements.com

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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