Energy, Legislation, Lithuania

International Internet Magazine. Baltic States news & analytics Thursday, 28.03.2024, 15:44

Lithuanian Seimas extends VAT exemption on heating until 2017

BC, Vilnius, 30.06.2015.Print version
The Lithuanian Parliament has extended 9% VAT exemption on heating from 1 July 2015 to 31 December 2016, reports LETA/ELTA.

88 MPs voted for the amendments to the Law on Value Added Tax, 3 voted against, with 12 abstentions.

 

The Social Democratic Party has voted in favour for extending the exemption on heating. The party said most Lithuanian households receive district heating, thus voting otherwise would have been detrimental to the interests of low or average-earners living in blocks of flats. If prices of heat and hot water increased, more money would have to be spent on compensations for heat received by low-income earners.

 

The Government estimates that additional EUR 20-21 million will be needed from the state budget to extend VAT exemption on heating.

 

In order for amendments to enter into force from 1 July, President Dalia Grybauskaite must sign them with exceptional urgency.






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