Spain's fuel tax break falls from 20 to 6 cents
Spain keeps a 20-cent tax break on petrol and diesel in October, but cuts it to 6 cents by December. The government published the plan on Wednesday, 30 September, as the existing relief was due to expire. Spain’s petrol station operators’ association, Ceees, called the new measures “disappointing and ineffective”.
The break runs until 31 December. It falls to 13 cents in November before dropping again in December. If prices rise by more than 15%, an automatic safeguard would restore the 20-cent break in November or December.
Ceees says the plan will do little to ease fuel costs. It expects the frozen diesel tax to leave prices unchanged, while any small saving on petrol will take time to reach the pump.
The association also objects to fuel being left out of a separate measure for electricity and gas. Their VAT could fall from 21% to 10% if their respective September inflation rates exceed 15%. Ceees president Javier de Antonio says that even if the fuel safeguard brings a bigger tax break, it will take two months to reach customers.
Source: Europa Press / Mallorca.com