The Secretary of State for Tax Affairs says that, in order to introduce essential goods into the list of goods and services with a zero VAT rate, others must be removed, given that the preliminary assessment that was carried out under the new community directive concluded that Portugal had already fulfilled the seven categories provided.
António Mendonça Mendes was interviewed by Jornal de Negócios and Antena 1 and showed a preference for structural changes. The Secretary of State considered it important to include products representing new diets, such as vegan food, in the reduced VAT rates.
Mendonça Mendes also rejected the idea that the State is profiting from inflation, by increasing VAT tax revenue, and advanced that the State returned this revenue of 1,300 million euros to the economy through the State Budget.