Latest VAT rate changes
The VAT rate is reduced to 6% (from 24%) until 31 December 2020 for the below goods:
- Protective masks and gloves;
- Antiseptic products;
- Wipes and relevant antiseptic;
- Soap and all other personal hygiene products; and
- Ethyl alcohol (if this is used as a raw material for the production of antiseptics).
From 1 April 2020, the VAT rate has been reduced from 16% to 14%.
The VAT rate for hotels, restaurants and catering services has been reduced from 20% to 15%.
The reduced VAT rate of 12% will be cut to 8% until the end of October 2020.
The reduced rate is applicable to the below services:
- Passenger transport;
- Public broadcasting; and
- Sporting events.