The rate of VAT increased 2%, 1-1.5% growth rates in Serbia

Due to the increase in the VAT rate from 18 to 20 per cent next month, we can expect a large increase in the price of food in the shops, but also cigarettes, fuel, clothing and footwear, as well as the services of mobile operators. In consumers’ associations say that some traders could take advantage of tax changes to raise the price to a higher percentage.

The Serbian government adopted a package of anti-crisis today measures that will allow the country’s budget this year and next year, a savings of 146 billion this year and next year. Implementation of the measures will certainly be reflected in the standard of living, because the anti-crisis measures include raising the VAT rate from 18 to 20 percent of the next month and an increase in excise duties on cigarettes and diesel fuel.

It can be expected that with the increase in VAT and the more expensive and most products that are calculated at that rate, and economists estimate that the price increase on that basis to be between one and 1.5 per cent.

The consumer associations still worry that some traders do not take advantage of tax increase as a reason for higher price increases.

– Economic law of supply and demand in Serbia have long ceased to apply and can be expected to traders using monopolistic environment, financial losses shifted to consumers – says Goran Papovic, president of the National Organization of Consumers in Serbia. The Association of Serbia traders say the trader is not in the interest of further price increases as decreases traffic anyway. Therefore, we expect that many of the actions before they submit new price lists manufacturers, sell merchandise from stock at old prices.

New price lists will throw the shoe shops and clothing. Milan Knezevic, textile company owner “Modus”, said that due to higher VAT by two per cent increase in the price calculated amount to a little less – about 1.7 percent, which applies to other types of products. Due to higher excise duties and VAT poskupeće and cigarettes for at least 20 dinars per pack, restaurants and bars with the higher VAT adjust their price lists. The association of private gas stations are estimated to be due to higher diesel more expensive duty to five dinars, petrol around 3.5 dinar.

 

 

2012-10-01T18:33:47+00:00October 1st, 2012|Razno @en|