- Economic Affairs Minister Michael Halkitis announced a reduction in VAT on food from 10% to 5%
- The government will lose an estimated $30 million in revenue annually due to this change
- Halkitis stated that vendors will not incur any losses from the VAT reduction
- The decision to reduce VAT on food items was made to simplify the tax system
- The opposition had been calling for a decrease in VAT on essential items
- Halkitis defended the government’s decision, stating that the previous administration’s approach to VAT was flawed
- He rejected criticism that the move undermines the credibility of the Progressive Liberal Party in administering the VAT system
- Halkitis emphasized the country’s financial recovery under the current government’s management
Source: tribune242.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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