- Expanded Reduced VAT Rate: The first two draft bills propose extending the 5% reduced VAT rate to include gluten-free flour mixes and menstrual hygiene products, such as sanitary napkins and tampons, starting from July 1, 2025.
- New VAT Registration Threshold: The third bill aims to consolidate the current VAT thresholds into a single threshold of €75,000, replacing the previous €50,000 and €62,500 thresholds, and includes provisions for taxpayers to request cancellation of registration if turnover remains below this amount for 12 consecutive months.
- Reduction of Standard VAT Rate: The fourth bill seeks to lower the standard VAT rate from 23% back to 20%, reversing the increase that took effect on January 1, 2025, if the measures are approved by the parliament.
Source Orbitax
