Latvia: excise tax on natural gas suspended until June 30 next year

The Saeima yesterday amended the Law on Value Added Tax, suspending the excise tax on natural gas until June 30, 2011.

84 Saeima members voted for the amendments, no one voted against or abstained.

Saeima Economic, Agricultural, Environmental and Regional Policy Committee Chairman Vents Armands Krauklis (People's Party) said after the Saeima meeting that the postponement of the excise tax on natural gas was in the national economy's interest. He said though that the next heating season would be highly complicated all the same, however, if the excise tax on gas had not been postponed, this would have created serious problems for many local governments and residents.

Krauklis also believes that the Saeima's decision will make talks with Russia on a reduction in the price for natural gas supplied to Latvia more productive.

The amendments to the Law on Value Added Tax will come into force the day after they are promulgated.

LETA


  
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