The Spanish Government will lower the IVA (VAT) on masks from 21% to 4%.
The decision will be adopted at the meeting of the Council of Ministers next week with a royal decree to be issued on the matter.
The move was announced by the Minister of Finance, María Jesús Montero.
The decision will be formalised at the meeting of the Council of Ministers on Tuesday. The news comes after Spain received confirmation in writing from the European Commission guaranteeing that no file will be opened against Spain for applying a VAT rate for masks below the level set out by EU regulations. “We have obtained written guarantees that Spain will not be sanctioned,” explained Montero.
The minister also announced that, in addition to VAT, the Government will establish a lower price at which masks should be sold to the public at this Thursday’s meeting of the inter-ministerial commission on medicines.
“The government will be vigilant to ensure that (the measures) translate into a price reduction for the final consumer and not in a higher business margin,” Montero warned.