The general VAT will be increased from 16% to 18%. This type of VAT is applicable for those transactions in which is not foreseen another type of VAT.
The reduced VAT will be increased from the 7% to 8%. This type of VAT charges the food.- except those of first need which included in the type of Vat known as super-reduced-, the properties, transport, accommodation, social and medical security or cultural services.
The type of VAT known as super-reduced is applicable to the goods and services of first need, and which will be kept on the existing 4%.
Those changes will involve an additional income for the Inland Revenue of 5,150million of Euros
Reform approved by Council of Ministers dated 26th September 2009 attached to the Law of Annual budget by the Government and in force from July 2010.
Final approval of Law of Annual Budget by the Government for 2010 by Law 26/2009 of 24th Decembr 2009.