Wednesday, November 16, 2016

The tax on diesel down a penny this Thursday – the Journal News

from Thursday, the excise duty on diesel is a penny cheaper, and the rate on gasoline, which was reduced in may, continues.

The ordinance that introduces this reduction in the tax on diesel, and keeps the gasoline, was published this Wednesday in the Journal of the Republic, indicating that the descent rate shall enter into force on the day following its publication.

The Government has made, this year a quarterly review of the rates of Tax on Petroleum Products (ISP), with a view to greater tax neutrality of the variations of the price of petroleum products, offsetting this tax change in Tax Value-Added tax (VAT).

in This context, under ordinance no. 136-A/2016, 12 may, the Government had determined on the reduction of one cent per litre in the duty applicable to unleaded petrol and diesel.

In January, the prices of reference gasoline and diesel registered by the National Authority for the Market of Fuels amounted, respectively, to 1,118 euros and the 0,861 euros.

In October, there was a price increase in 0,094 euros in gasoline and 0,128 euros on diesel.

“Thus, and according to the methodology followed in the previous quarterly reviews, such variation of the reference price of the fuel justifies a reduction of the ISP of a cent for gasoline and two cents on diesel fuel, in relationship to the rates laid down in Ordinance no. 24-A/2016, of 11 February. Once, in may, had already been achieved in the reduction of a penny in gasoline and in diesel, it was decided now to keep that reduction in gasoline and reduce additionally a cent of tax on diesel,” says the Ministry of Finance.

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