December 7, 2022

MoviesOnline

Complete Canadian News World

Higher value added tax on fuel.  Will there be increases in stations after January 1, 2023?

Higher value added tax on fuel. Will there be increases in stations after January 1, 2023?

The European Commission has reservations about the anti-inflationary shield And ordered to return the full VAT rate for fuel. So far, Brussels has turned a blind eye to it, but to the government in Warsaw, which announced the extension of the so-called shields, it is a signal that this situation cannot continue any longer.

From January 1, 2023, we will pay more for fuel, because there will be no reduction in VAT from 23 to 8 percent. This is a painful change for the Poles. For fuel, which currently costs PLN 7 per liter, since the new year we will pay about PLN 8.40 per liter. Economist Dr. Rafał Mundry said on Wirtualna Polska’s “Newsroom” program that diesel fuel, which currently amounts to PLN 8, would cost PLN 9.50 without the shield.

The rest of the article is under the video

See also: 9.50 zlotys of diesel? The government is preparing changes that will hit the Poles hard

Increase in fuel prices at stations after January 1, 2023? Prime Minister: We don’t want that

However, the government says that after January 1, we are not in danger of a sharp increase in the already high prices at petrol stations.

We want the restoration of VAT rates not to be accompanied by any increases in gas stations, Prime Minister Mateusz Moravecki said on Tuesday.

Let us remind you: VAT is only one of the components of the fuel price that drivers pay at stations. Of course, the price of the product purchased at the refineries has the largest share, followed by excise tax and value added tax. In addition, we have a fuel tax and an emissions tax.

And one component that directly affects the owners of service stations – margin.

This is why fuel market analysts point out that there is only one way to avoid an increase in fuel prices after raising the VAT rate to the previous level.

The retail margin is currently very high, which is caused by the recent decline in crude oil and fuel prices in the ARA market (Amsterdam-Rotterdam-Antwerp) and the strengthening of the zloty, and the wholesale margin is also higher. Reducing these margins from the new year will certainly reduce the price increase Because of the increase in VAT – says money.pl Rafał Zywert, fuel market analyst from BM Reflex.

The fact that sellers have such a “buffer” comes at a price. In the near future, drivers should not expect significant cuts, despite reports of lower crude oil prices in world markets. – Simply put, now fuel prices are not falling, so from the new year they will rise even less. With the proper positioning in the global market, they can stay at the current level, – adds Zywert.

If you want to keep up to date with the latest economic and business events, use the Click-through Chatbot over here.