The Minister announced the extension of reduced VAT rates for gas and electricity, with newspapers and certain health products becoming zero-rated. As signalled earlier this year, the reduced 9 percent VAT rate for the hospitality sector will not continue past 28 February 2023.
Gas and Electricity
The 9 per cent rate of VAT will be extended for gas and electricity to 28 February 2023. The measure was due to end on 31 October 2022.
Newspapers
Newspapers play a critical role in our society. In recognition of this, the Minister announced a reduction in the VAT on newspapers (including digital editions) from 9 per cent to zero rate from 1 January 2023.
Health Products
Automatic External Defibrillators will now be taxed at the zero rate. In addition, non-oral Hormone Replacement Therapies and non-oral Nicotine Replacement Therapies will be zero rated. These changes will be introduced from 1 January 2023
Hospitality
The 9 per cent VAT rate which is currently in place for the benefit of the tourism and hospitality sector will cease after 28 February 2023 where the rate will revert to 13.5 per cent.