The Supreme Court has declared two laws passed by parliament unconstitutional. These laws were intended to alleviate the impact of rising fuel costs on consumers but were found to violate the principle of separation of powers. The first law eliminated the imposition of value-added tax (VAT) on the excise tax for petroleum products until the end of 2022. Essentially, it removed VAT on fuel consumption tax for a specified period. The second law implemented a zero VAT rate until the end of 2022 for the fuel price adjustment included in electricity bills. This adjustment encompasses various costs such as purchasing greenhouse gas emission rights, acquiring fuel, and maintaining strategic reserves.
Source: cyprus-mail.com
