- Starting from January 1, 2025, the VAT rate applied to electricity consumption will decrease from 23% to 6% for the first 200 to 300 kilowatt-hours consumed each month.
- This measure will result in a reduction of fiscal revenue by 110 million euros, exceeding the previous estimates of 90 million euros.
- The reduction of VAT on electricity was the last of five measures announced by the Secretary-General of the PS in April.
- The extension of the VAT reduction to double the amount of energy paid with lower taxes will benefit 3.4 million consumers, compared to the previous 300,000 families.
- The proposal for the State Budget for the next year, presented in the Assembly of the Republic, includes this reduction in VAT on electricity.
Source: jornaldenegocios.pt
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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