LSDM considers the announced reduction in VAT on fuel, from 18 to 10 percent, both overdue and insufficient. According to the party, the government reacted only after rising prices had placed a strain on citizens’ standard of living.
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The opposition party recalls that, from the outset of the crisis, it had called for VAT on fuel to be reduced to five percent, the immediate removal of the excise duty, and a zero tax rate on basic food products.
“The government did nothing. It allowed prices to rise, while citizens were forced to fill their vehicles in instalments and cut back on their purchases. Now, after the damage has already been done, it is presenting a partial measure and expecting applause,” LSDM said.
According to LSDM, reducing VAT from 18 to 10 percent cannot be seen as a timely measure to protect living standards, but rather as evidence of the government’s delay in taking action.
“This is not care, but belated makeup. Citizens first have to face high prices, and then the government gives them back only a small portion and tries to portray itself as their saviour,” the party stressed.
LSDM also criticised a statement by Prime Minister Hristijan Mickoski, who said that fuel prices were “essentially not low”, but that they were lower compared with neighbouring countries.
“It is not enough to tell citizens that people pay more in another country. Fuel is not a luxury, but the means that gets people to work, bread to the shop and goods to the market. When the price of oil rises, the cost of everything rises,” LSDM said.
The opposition party also rejects the argument that the tax cut would affect the state budget. It accuses the government of directing public money towards unproductive spending and dubious agreements instead of using it for support measures for citizens.
“After months of inaction, reducing VAT from 18 to 10 percent does not constitute a policy. It shows that the government acted too late. A delayed decision does not make life cheaper,” LSDM said.
