The chairman of the trade organization of bakers and confectioners Mariana Kukusheva and President of "Podkrepa" Dimitar Manolov, signed an agreement to collaborate on differentiation and VAT on bread. It turns out that the bread may become cheaper by 12-13% if the VAT it decreased by 5%. Dimitar Manolov commented that plans to invite other industry organizations to offer the government an overall tax reduction for essential goods.
Currently, both the bread and all other goods subject to VAT of 20%. "If the VAT on bread decreased by 5 percent, you will immediately feel the decline in price of the product and with 12-13%" - said Kukusheva. This will lead to a lightening of the sector, because at the moment there are about 1 billion. Lev that remain unreported.
According to Dimitar Manolov, except bread, lower rate must be on fruits, vegetables and other essential commodities. Manolov explained that he is willing to seek professional organizations of producers of meat and dairy products. According to him, this measure should be extended on textbooks, books and medicines.
If the government adopts the proposal for a reduction in VAT, the new rate will start next year.