The tax on diesel fuel goes down this Thursday – Jornal de Negócios – Portugal

The retail price of diesel will go down from tomorrow, being that the change is not due to variation in fuel prices in the markets. Is that was published this afternoon the ordinance with the revision of the Tax on Oil and Energy Products (ISP), which enters into force tomorrow.

The ordinance is published in the Journal of the Republic, the Government refers to the who had already reported on Monday, revealed that the tax levied on diesel would be revised downwards by 1 cent per litre.

in This way, given that the ordinance takes effect on the day following the publication, the petrol stations will have to reflect this change of tax already from Thursday, November 17.

In the ordinance the Government gives account that the variation of the prices of the two fuels justifies a reduction of the ISP 1 cent on petrol and 2 cent on diesel. However, since the taxes on the two fuels had fallen 1 cent in May, “it was decided now to keep that reduction in gasoline and reduce additionally a cent of tax on diesel”.

according To the Directorate General for Energy and Geology (DGEG), the average price of diesel was on Monday at 1,168 euros, so that the tax reduction should lower the price for a liter of this fuel to 1,158 between euros.

Third revision of the IPS

This is the third revision of the ISP, after in August have been decided, the maintenance of values and of in May if you have registered a decline.

In August, the Government decided not to increase the ISP, thus keeping the values applied from May. The Finance Ministry noted in August that the price of gasoline then was in force until it was lower than the value paid in January, the height from which in that if you applied these updates to the ISP, and not justified and that the tax was lower than in the beginning of the year was lower due to the reduction applied in May).

In January, the month prior to the first update by the government to the value of the ISP, the reference price of these fuels was 1,118 euros and 0,861 euros for gasoline and diesel, respectively. In relation to values carried out in October, there was an increase in price 0,094 € in gasoline and 0,128 euros in diesel, says the press release issued this Monday by the Ministry of Finance.

“The reduction of the revenue of the ISP arising from this review tends to be compensated by the increase of VAT revenue, as a result of the increase in fuel prices, in line with the fiscal neutrality advocated” for by the law which implemented the quarterly reviews of the ISP, refers to the ordinance signed by Mário Centeno.