Why is VAT being reduced on 1 January 2023?
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- What is VAT?
- What is the difference between a price including VAT and a price excluding VAT?
- Why do we have to pay VAT?
- Where does the money from VAT go?
- Why is VAT being reduced on 1 January 2023?
- How long will VAT remain at 16%?
- What will happen when VAT returns to 17%?
- Is there a possibility of a new lower VAT rate?
- The situation at POST
Why is VAT being reduced on 1 January 2023?
VAT is being lowered in response to soaring prices. The Luxembourg government has decided to temporarily lower VAT rates for 2023 (from 1 January to 31 December). The standard rate will be reduced from 17% to 16%.
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