- Luxury rice, lamp oil, and hybrid electric vehicles (except light hybrids) are newly taxed or re-taxed at VAT rates of 5% or 20%, and FRUP VAT advantages are removed.
- New items explicitly subject to 20% VAT include creamers, sports nets, and quads (new and used).
- Meat sales, bank/financial customer financing interest, agricultural fungicides/herbicides, and spiral mosquito repellent are now VAT-exempt.
- New electric vehicles remain VAT-exempt, while other mosquito repellent formats (sprays, liquids, aerosols) stay taxed at 20%.
- The law strengthens VAT compliance rules by clarifying fines for non-payment and requiring unpaid collected tax plus penalties, separate from criminal proceedings.
Source: mef.gov.mg
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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