Today’s news / Danes favor cutting VAT on fruits & veggies
Lower VAT on fruit and vegetables could get the Danes to eat more vegetables, concludes the Ministry of Taxation in an analysis. However, it would cost the treasury two billion kroner annually. (Archive photo). Photo: Asger Ladefoged/Ritzau Scanpix

Danes favor cutting VAT on fruits & veggies

A YouGov poll commissioned by Coop amba reveals that 82 percent of Danes support reduced VAT on fruits and vegetables, the highest backing seen in six annual surveys. According to a Tax Ministry analysis, a VAT reduction from 25 to 15 percent could boost green produce sales, but cost the treasury 2 billion DKK yearly. Tax Minister Rasmus Stoklund is considering the proposal’s merits against its fiscal impact, ahead of a meeting with the retail sector. Coop amba’s chair Pernille Skipper asserts that different VAT rates can be managed by stores, contrary to the ministry’s concerns of increased expenses. Denmark stands alone in the EU with a single VAT rate. The government lacks a consensus on differential VAT, with varying positions among different political parties.