The EU has proposed a law allowing governments to temporarily reduce VAT rates to counteract price rises, particularly in fuel, and protect citizens’ standard of living. The proposal is aimed at mitigating inflationary pressures in Montenegro and has broad political support. It follows examples such as Spain’s reduction of fuel VAT from 21% to 10%.
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Key Takeaways
It allows governments to quickly respond to significant price increases and protect citizens’ standard of living.
Spain reduced its fuel VAT from 21% to 10%.
Montenegro.
Boris Mugoša.
It is expected to be supported by all political parties.
Primary source
Read the full article at VijestiThis summary was published on VATfaqs.com on 6 April 2026. It relates to VAT developments in European Union. The original source is Vijesti.
