Two proposals for the reduction of the Special Consumption Tax and the VAT on fuel, was submitted in a letter to the Ministers of Finance Mr. Chr. Staikoura and Development & Investment Mr. A. Georgiadis the Administration of the Athens Chamber of Crafts.

The President of the Athens Chamber of Crafts Mr. Pavlos Ravanis points out that “Proposals are moving within the budget and the state budget can meet them”, emphasizing that it is imperative to reduce fuel costs, as the payment of benefits alone is not enough for survival of small and medium-sized enterprises.

The Athens Chamber of Crafts, responding to the appeals of its members, proceeded based on the prices as they are formed in the market, in the formulation of specific proposals – scenarios for how the prices would evolve after the following interventions:
a) reduction of VAT. in fuels from 24% to 13%, with refinery prices of 0.8 €, 1.00 € and 1.30 €, with the revenues of the State being formed respectively from 1.11 € / liter to 0.93 € / liter, from € 1.17 / liter to € 0.96 / liter and from € 1.25 / liter to € 1.01 / liter.
b) reduction of . from 0.7 € / liter to 0.5 € / liter with VAT 24% and 13%, with the revenues of the State being respectively from 1.08 € / liter to 0.83 € / liter and 0 , 68 € / liter.

The letter

The letter contains a detailed table, with the aim of alleviating the financial costs borne by consumers and businesses, in the context of promoting policies to mitigate the effects of the Ukrainian crisis, namely on fuel prices.

The Athens Chamber of Crafts proposes interventions that are already applied in other European countries, but also in Cyprus, where the reduction of the fuel tax on fuel was unanimously voted, for the period 8 / 3-1 / 6/2022 and given that the Specialist Consumption tax on fuel is disproportionately increased in relation to the financial capabilities of the Greek consumer, asks the Government to adopt one of its proposals.

Consumption

In fact, the Athens Chamber of Crafts insists that reducing fuel prices would increase consumption, help address strong inflationary pressures and reduce any revenue losses that would result from any tax cuts.

“We believe that we must all mobilize, Government, business representatives and companies, in order to be able to keep alive the productive fabric of the country in the critical and extreme phase we are currently going through,” said Mr. P. Ravanis, calling for dialogue. and exchange of views with the financial staff.

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