Minister Vandenbroucke: ‘VAT reduction on gas and electricity is final’

Minister Vandenbroucke: ‘VAT reduction on gas and electricity is final’
Minister Vandenbroucke: ‘VAT reduction on gas and electricity is final’

According to Minister of Health and Vooruit Deputy Prime Minister Frank Vandenbroucke, the federal core cabinet has decided never to increase the VAT on gas and electricity to 21 percent again. He said that on Thursday in De Morgen on Radio 1.

Earlier this week, the federal government decided to extend the VAT reduction on gas and electricity from 21 to 6 percent until the end of the winter. This measure, in combination with the extension of the extended social rate and the lower excise duties at the pump, should provide households with security in the unpredictable energy market.

According to Vooruit Deputy Prime Minister Frank Vandenbroucke, the VAT rate of 21 percent will never return. This was agreed on Tuesday evening at a meeting of the core cabinet in the run-up to the Consultation Committee on Wednesday. ‘We will make the reduction final’, Vandenbroucke said on Radio 1. ‘A rate of 21 percent is unjust, because it concerns a basic right. We also cannot continue to extend measures for a number of months. Now we are really going to think about taxes in the long term.’

Minister of Energy Tinne Van der Straeten (Groen) and Minister of Finance Vincent Van Peteghem (CD&V) must come up with a proposal by the end of this month to move towards a different tax on energy consumption that distinguishes between large and small consumers and also takes into account the climate objectives, said the minister.

The contribution to profiteering in the energy sector should also be clear before the end of the month, Vandenbroucke emphasized. That exercise will be a legal feat, but ‘there must and will be an enforceable agreement before the end of the month’, he emphasized. “The knots have to be cut.” The money that comes in the drawer goes to the lower middle class, which now falls by the wayside for the social rate.

The article is in Dutch

Tags: Minister Vandenbroucke VAT reduction gas electricity final

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