I would like to ask your opinion, do you think the situation is normal, that we still do not know the position of the Ministry of Finance on whether it is plan to extend the tax benefits or not”, M. Majauskas aske the Deputy Minister. Commenting on the assessment of the Ministry of Finance, Mr. Liutvinskas emphasiz that the preferential VAT for restaurants was appli as temporary support during the COVID-19 pandemic. According to him, the growth in declare profits of food service companies signals that the sector is already starting to recover. At that time, the state budget lost approximately 120 million this year due to the application of VAT relief for restaurants. euros of income, and similar losses would probably be recorded in the coming years as well.
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We try to weigh various factors. One of them is budget losses, the economic situation in general, the impact of war and uncertainty, energy shock on both the economy and individual branches of the economy. We carry out the assessment and also Senegal Email List discuss with other relate ministries, since the position of the Ministry of Finance is not the unequivocal position of the Government ,” the Deputy Minister assure. According to him, the position of the Government regarding the application of VAT relief to restaurants and hotels should become clear already in the next month, when the next year’s state budget draft will be present. “To the best of my knowledge, the Government should submit the general agree vision, one or another propose solution, together with next year’s budget draft, which, as the Prime Minister indicate publicly, should be submit to the Seimas a little earlier this year.
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If everything is fine, we hope to reach the Seimas in the first half of October”, promise M. Liutvinskas. Bank of Lithuania: the extension of the relief may be considere For his part, the Chief Economist of the Department of Economics of the Bank of Lithuania, Vaidotas Tuzikas, said at the meeting that the original purpose of the VAT relief for hotels and restaurants – to help the business of the sector withstand the pandemic and recover after it – has been implement, the number of employ people has recovere, and wages and sales revenues of companies have increase significantly. However, he acknowledge that food and accommodation establishments, like all businesses, experience increase costs for the energy they consume. V. Tuzikas emphasizes that if 21% was returne to restaurants.