Government reduces VAT on basic foods to 0%

Basic food items, such as eggs, dairy or fruit, will no longer have a 4% tax to combat the increase in the price of the shopping cart caused by inflation until June 30, 2023. Oils and pasta will also experience a VAT reduction from 10% to 5% during the first half of the year

The aid of 200 euros will benefit 4.2 million households with incomes of less than 27,000 euros

Electricity will continue with a 5% VAT on the bill, as well as deliveries of natural gas, briquettes or ‘pellets’

Surgical masks will maintain a 4% VAT during the first half of 2023 due to their mandatory nature in public transport and other areas, while diagnostic tests and vaccines will continue at 0%

The Royal Decree-Law includes tax exemptions and benefits for the victims of the forest fires last summer in 15 CCAAs