2023-12-17 12:35:00
In the program “It’s not every day Sunday” on December 17, it was particularly about purchasing power which is the primary concern of Belgians. Six representatives of the French-speaking parties announced the flagship measure concerning this subject. For several years, the price of the checkout cart has been soaring. A majority of political parties want a reduction in VAT on receipts from 6% to 0% to encourage consumers to consume healthy foods.
The Group leader in the Chamber and head of the list in the Chamber for Hainaut, Sofie Merckx (PTB), is dismayed by the increase in shopping prices “What poses a real problem is the price of food, the price of groceries (…). Ketchup, which has increased by 43%, is much more than the inflation that there is had”. The first measure proposed by his party is to remove the 6% VAT on all food products. The second longer-term measure is to block certain prices. “It’s a very interesting proposition”says Nawal Ben Hamou (PS), Brussels State Secretary for Housing and Equal Opportunities.
Saskia Bricmont (Ecolo), MEP and head of the European list, specifies that the reduction in VAT must only be done on healthy products, including fruits and vegetables. Elisabeth Degryse (Les Engagés), head of the House list for Brussels, adds that this reform would allow citizens to eat in a healthier way. “We support the agricultural sector”, adds Sabine Laruelle (MR). For the Walloon MP, this allows us to consume locally and know where our products come from.
The federal MP and president of the Council of Francophone Women is mixed on this proposal. Sophie Rohonyi (DéFI) would like to target certain products more and not give away gifts on all products, which are for example manufactured on the other side of the planet like avocados.
0% VAT, is it possible?
In Europe, Spain has already taken the step of moving to 0% VAT. Since the Russian invasion of Ukraine on February 24, 2022, the Spanish government has increased aid to try to contain inflation, which has exploded across Europe. In December 2022, the Spanish government decided to abolish VAT on basic foodstuffs such as bread, milk, cheese, fruit, vegetables or cereals in order to compensate for the sharp rise in prices.
What are the measures that would make it possible to move to 0% VAT?
Reducing the VAT rate will create a shortfall for the Belgian state. How to compensate for it? The speakers put forward their proposals.
Sofie Merckx (PTB), proposes to tax those who make capital gains on shares, because it is a real tax loophole and there is no taxation, “the state loses more than 4 million per year”, she confides. However, Sofie Merckx’s words must be qualified: capital gains on shares managed “as a good father of a family” are exempt from taxes, but if the capital gain is speculative, it will be subject to a tax of 33%.
Saskia Bricmont (Ecolo), proposes to tax polluters and everything that is bad for health more because it also costs public finances. Elisabeth Degryse (Les Engagés) also supports these two measures.
Ultimately, this reduction in VAT to 0% could impact the wallets of Belgians, in fact, you could earn a few euros on your shopping.
The show “It’s not every day Sunday” can be seen again on our application RTL Play.
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