VAT: no to increase, not even in selective form

No to the increase in VAT. To say it is the CGIA of Mestre that expresses its clear opposition even to the eventual retouch in the selective form. The latter hypothesis, which seems to be taking shape within the offices of the Ministry of Economy.

Mestrini craftsmen remember that, in the worst case, if they will not be recovered by the end of this year 12,4 billions of euros, the ordinary rate will go from 22 to 24,2 per cent, while that reduced by 10 will rise to 11,5 per cent .

The coordinator of the CGIA Studies Office, Paolo Zabeo, says:

"It is absolutely necessary to avoid the increase in VAT. Even in selective form. Firstly because the government contract stipulated between the Lega and the 5 Star Movement does not provide for it. Secondly, because any increase would affect, in particular, the less wealthy and larger families, but also because the upward adjustment of the rates would have a recessive effect on our economy. I remember, in fact, that 60 per cent of the national GDP is attributable to household consumption. If VAT were to rise to the predicted record levels, the artisan shops and small traders would also be at the expense, given that the vast majority of their respective turnover is attributable to domestic demand".

Not only. If the increase is not defused, from the 2019 Italy will be the country with the highest ordinary VAT rate in the Euro area. From the current 22 percent, in fact, we will move to the 24,2 percent. This leap would allow us to override all and position ourselves at the top of the ranking of the most ill-treated by indirect taxes.

"If it is true that in these 45 years - declares the Secretary of the CGIA Renato Mason - we have undergone the most significant rate increase, it is also true that in the 1973 the one applied in Italy was, with the exception of Germany, the most contained. However, if the expected increase will not be avoided, Italian consumers will be subjected to the highest ordinary VAT rate among all euro area countries, with a serious risk that the shadow economy will take on even more worrying dimensions from the 2019.".

In fact, since its appearance until today, 45 years have passed. The ordinary VAT rate was introduced for the first time in the 1973 and until this year 9 has increased.

Among the main countries of the euro zone we are the one in which it has grown the most: well 10 points, a record, of course, that no one envies us.

If in the 1973 the rate was at the 12 percent, it now stands at 22 percent, with an increase, as we said above, of well 10 points. Germany follows, with a variation of + 8 points (it was at 11 now stands at 19 percent), the Netherlands, with an increase of 5 points (it was at 16 today is at 21 percent), Austria and Belgium, with increases in the period under review of + 4% and + 3% respectively. France is the only country in this comparison that has not registered any increase.

Finally, the CGIA listed the main goods and services that could be affected by the possible increase of the VAT rate from 10 to 11,5 per cent. They are:

  • meats, fish, spices, cocoa, pastry products and biscuits, chocolate, sauces, condiments, soups and minestrone preparations, mineral water, vinegar;
  • firewood in stumps, logs, etc .;
  • electricity for domestic use;
  • methane gas for domestic use (limited to the consumption of the first 480 cubic meters per year);
  • hotel services;
  • building renovations;
  • purchase or construction of non-luxury homes (which is not used as a first home);
  • theatrical performances, circus activities;
  • administration of foods and beverages;
  • plants and flowers.

And those that could possibly rise from the 22 to the 24,2 percent:

  • wine;
  • clothing;
  • footwear;
  • repair of clothing and footwear;
  • domestic appliances;
  • furnishings;
  • furnishing articles;
  • household linen;
  • domestic services;
  • repair of furniture, appliances and linens;
  • detergents;
  • pots, cutlery and crockery;
  • napkins and plates of cards and aluminum containers;
  • laundry and dry cleaners;
  • cars and means of transport;
  • spare parts, oil and lubricants;
  • maintenances and repairs;
  • Games and toys;
  • radios, televisions, hi-fi, video-recorders, etc .;
  • computers, typewriters and calculators;
  • stationery;
  • personal care products;
  • barber, hairdresser, beauty parlors;
  • silverware, jewelery, costume jewelery and watches;
  • bags, suitcases and other personal belongings;
  • free professional fees.

VAT: no to increase, not even in selective form

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