Latvia Proposes Permanent Reduced VAT on Bread, Milk and Chicken

• Latvia’s Agriculture Minister wants the reduced VAT on bread, milk, poultry, and eggs to become permanent, not temporary.
• A 12% VAT rate is set to start on July 1, 2026, and is currently planned to last only until June 30, 2027.
• Supporters say the lower tax would help keep food prices stable, support local producers, and give businesses more certainty.
• Whether it stays after 2027 will depend on the state budget and whether it actually lowers prices in stores.

Source: news.inbox.lv

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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