2023-06-21 11:42:00
This is a reform that might have a strong impact on our daily lives. The government plans to modify the VAT rate of certain products. The basic rate is 21%, but certain goods and services are at 6 or 12%. For basic necessities, such as bread, eggs, milk, we might also modify the VAT and go to 9%.
Bread, a staple food, has a 6% VAT. But in the new tax reform envisaged by the government, its VAT might rise to 9%. Sandrine, gernate of the bakery, testifies in the RTL Info 13 hours: “Already now with the cost of raw materials and labor, if in addition it’s 9% it’s not possible. Even in wartime, we were entitled to a slice of bread. It meant that it was a first necessity. 0% would be ideal for everyone.”
The problem is to know on what we will defer this VAT
Bread would not be the only food affected by this increase. As part of its tax reform, the government might do the same for meat, fish, eggs and milk. On the other hand, for other products, such as fruit and vegetables, the VAT would drop to 0%. Bruno Colmant, economist: “A decrease or increase in VAT does not fundamentally change purchasing behavior. It is rather inflation that is the concern of consumers. The problem is to know what we will defer this VAT to.”
According to Comeos, the trade federation, if fruit and vegetables go to 0% VAT and other foods from 6 to 9%, all shopping carts in Belgium would suddenly become more expensive by around 1.5 billion. euros.
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