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CONSUMER PROTECTION ORGANISATION SUPPORTS ANNOUNCED REDUCTION OF VAT

Autor: ;HALF;
ZAGREB, Jan 6 (Hina) - The organisation for the protection of consumers Potrosac has criticised former ruling officials for disapproving of the announced reduction of VAT from 22 to 20 percent.
ZAGREB, Jan 6 (Hina) - The organisation for the protection of consumers Potrosac has criticised former ruling officials for disapproving of the announced reduction of VAT from 22 to 20 percent.#L# Potrosac (Consumer) issued a statement on Tuesday in reaction to yesterday's statements by Croatian People's Party leader Vesna Pusic, former finance minister Mato Crkvenac, and former parliament president Zlatko Tomcic to the effect that the reduction will not help development or living standards but deprive the national budget of about 3.5 billion kuna (EUR460.1 million) per year. According to Potrosac, households will save more than 3,000 kuna (395 euros) annually thanks to the reduction, which the organisation says might not mean much to politicians but does to the budgets of the unemployed, pensioners and all people with low income. The Ivo Sanader Cabinet yesterday proposed reducing the VAT rate from 22 to 20 percent. This reduction would become effective on 1 January 2005. (Hina) ha

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