NEWSPAPER PUBLISHERS DEMAND MINIMUM V.A.T. RATE

( Editorial: --> 7983 ) ZAGREB, Dec 12 (Hina) - Croatian newspaper publishers warned the government on Friday that prices of newspapers would go up from 11 to 22 per cent when Value Added Tax of 22 per cent came into effect next month. In a letter to Prime Minister Zlatko Matesa, publishers said that the tax would affect newspaper sales, the financial status of publishers and the position of the publishing and paper industry as a whole. Newspapers publishers urged the government to prevent a financial attack on the print media and to protect the publishing business and the right of the Croatian public to information. Stressing that they supported the government in enforcing the Value Added Tax Act, publishers said that the law envisaged the highest tax rate for newspapers in Europe. Newspaper publishers called on the government to ensure compliance with international standards and recommendations, which provide for a zero or minimum tax rate for newspapers because of their special political and cultural importance. Publishers said they expected an urgent call for a joint meeting with the government. (hina) vm jn 121944 MET dec 97