Lithuania’s SocDems propose lower VAT on food, progressive taxes

Social Democrat Party presidium meeting
DELFI / Andrius Ufartas

“We want a discussion on VAT discounts. This is not necessary from 2018, we should not just take account of the growing income of people but also a stop on growing prices – we should start discussing VAT on main food products,” Palionis told journalists after a meeting the ruling coalition’s political council on Wednesday.

In his words, the Social Democrats object the proposal of the other ruling party, the Lithuanian Farmers and Greens Union, to raise children’s money at the expense of discarding the additional tax-free income size. The Social Democratic Party wants children’s money to be at around 100 euros per month.

“If we cannot do this in 2018, we should commit ourselves to raising the sum annually to reach the 100 euros,” said Palionis.

The Social Democrats also suggest reintroducing free lunch for elementary school students and introduce progressive taxes.

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