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New 'green taxes' to make life more expensive

galpThe new green tax on plastic bags will now not come into force until February 15 but other taxes in the guise of helping the environment will start as planned on January 1st, 2015.

Plastic bags from supermarkets will cost a minimum of tens cents.

The Ministry of the Environment, Planning and Energy said today that, "Under the Green Taxation reforms all light plastic bags become subject to a contribution of eight cents plus IVA (10 cents)," but there is a transition period of 30 days so that supermarkets can use up old stock, according to Minister Jorge Moreira da Silva.

However the ministry works out which bags are old and which are new, the consumer will be paying up from February 15th.

In addition to the plastic bag tax, there is a new carbon tax that will make sure fuel and energy costs rise steeply in 2015.

According to figures from Galp, which have been confirmed by the Portuguese Association of Oil Companies, the carbon tax will add 1.5 cents per litre of diesel and gasoline in tax, with prices expected to rise overall by 5 cents for diesel and 6.5 cents for gasoline – a projection denied by the government but supported by the Association.

The government calls the increased tax a ‘green tax’ but the fuel industry refers to the rise simply as a ‘tax increase.’

There is no bedding in period for drivers as this tax starts at midnight tonight with filling stations expecting record sales.

The National Fuel Dealers Association warns that there may be queues as “people will leave it to the last minute," as noted by its deputy President José Reis.

Current fuel prices are around those seen in 2010, but the situation will change as the fireworks are released to welcome in 2015.

To the public benefot, the proposed 2015 rise in IVA from 23% to 23.25% has quietly been scrapped.

See also:

http://www.algarvedailynews.com/news/2888-portugal-s-green-taxation-review-contains-innovative-surprises

 

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