Text file: 6436.txt
author: pikica89
downvotes: 9
end consideration date: 2015-01-28
id: '6436'
number comments: 8
number views: 2553
proposal type: Competent authority response
response: "Response from the Ministry of Finance\nFrom the point of view of the functioning\
  \ of the value added tax (VAT) system, it should be borne in mind that VAT is not\
  \ an appropriate instrument for regulating the prices of goods and services offered\
  \ by economic operators on the market. Prices of goods and services are primarily\
  \ determined on the basis of supply and demand, as well as other competitive conditions.\
  \ Consequently, a reduction in VAT on certain goods or services does not necessarily\
  \ imply a reduction in their price.\nPursuant to the Value Added Tax Act (Official\
  \ Gazette of the Republic of Slovenia, No 13/11-UPB, 18/11, 78/11, 38/12, 83/12,\
  \ 46/13-ZIPRS1314-A, 101/13-ZIPRS1415, and 86/14, hereinafter referred to as ZDDV-1),\
  \ a lower VAT rate of 9.5% is uniformly applied in Slovenia to supplies of foodstuffs\
  \ (including intra-Union acquisitions as well as imports), which is derived from\
  \ 1. 1.1 of Annex I to the VAT Act, in conjunction with Article 41(2) of the VAT\
  \ Act, and also from Article 48 of the current Regulation on the implementation\
  \ of the Value Added Tax Act, which defines these products in more detail.\nThe\
  \ application of different VAT rates to supplies of foodstuffs depending on their\
  \ origin, i.e. lower for foodstuffs from Slovenia and higher for supplies of foodstuffs\
  \ from abroad, would be contrary to European Union law, which requires the VAT system\
  \ to ensure non-discriminatory treatment of equivalent products and services in\
  \ trade between Member States.\nIn the light of the above, the initiative to introduce\
  \ different VAT rates for domestic and imported food in shops cannot be supported.\
  \   \n \n "
response date: 2015-02-17
response due date: null
sent date: 2014-12-30
title: Reduced tax for Slovenian food
upvotes: 14
url: https://predlagam.vladi.si/predlog/6436
