Energy expert Luc Pauwels knows what solution was already on the table. Then our government decided not to. However, other countries do. We have a 21 percent rate on our electricity, and Great Britain charges 5 percent. Spain has also significantly reduced its value-added tax, and other European countries are charging much lower rates. In other words, it is possible, and this has already happened in our country in the past. In 2014, the value-added tax on electricity was reduced for a period from 21 to 6 percent.”
What isn’t possible, according to Bowles, is to lower the value-added tax for low-income people and maintain a rate of 21 percent for people who can collect it. “This has been suggested to the federal government, but it doubts whether Europe is allowed to do so.”
The overall drop to 6 per cent is the only way the federal government has left: “It has already changed prices into production duties so you can lower them when energy prices go up. However, it only has a €90 margin. If you experience increases in your €1,500 bill now and 700 euros three months ago, this total will be deleted. The Flemish government can make an effort by lowering their prices, taxes and levies, and the first step has been taken in this regard. But they are plastered on a wooden leg. If they interfere with VAT, people will not be able to save a hundred, even a few hundred euros. ”
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