Are you sure?

EC okays preferential VAT for district heating

The European Commission has not raised any objection to the planned introduction of an 18% preferential VAT rate on district heating, Hungary’s Finance Ministry told MTI.

The Commission did not raise any objections to Hungary's plan to lower the VAT rate on district heating from 25% -- Hungary's main VAT rate, which was raised from 20% on July 1 -- within a three-month period, allowing the Finance Ministry resolution to be published on July 30.

The rate will come into effect from August 1.

Hungary introduced the 18% preferential VAT rate when it raised its main VAT rate. (MTI – Econews)