Only 7 percent: That brings the VAT savings on gas

One can puzzle over why gas has not been classified as vital for tax purposes, even though it regularly saves many people from freezing to death as a heating medium in winter.

Only 7 percent: That brings the VAT savings on gas

One can puzzle over why gas has not been classified as vital for tax purposes, even though it regularly saves many people from freezing to death as a heating medium in winter. But now the time has come - that's how much every household saves.

Steer? Nobody likes to pay. But they serve the continued existence of the state. And thus also for the common good. However, it is not the case that only those who earn an income at all are asked to pay for the common good, but everyone who buys something at the cash register or elsewhere. Namely in the form of VAT. This is levied on the net value of all goods that are subsequently sold. Either 19 or 7 percent. Which is usually accepted by the consumer without complaint. Regardless of the fact that the tax is the same for everyone. Whether rich or poor.

The idea behind it: basic services should remain affordable for everyone. For this reason, the legislature levies a lower tax rate, the reduced rate of 7 percent, for staple foods and their preliminary products, among other things. Certain essential goods are to be made cheaper in this way. So now also gas, albeit only temporarily - until March 2024.

Why gas has not been classified as essential to life so far, although it is used as a heating medium by about half of all households in Germany and regularly saves many from frostbite in winter, can be puzzled. A closer look at which products are assigned which VAT rate is confusing to amusing anyway.

However. Back to gas purchases, which are now temporarily discounted. With the reduced VAT rate and including the gas levy due from October based on the August prices (1. 1185 euros, 2. 2638 euros, 3. 4293 euros; these include 19 percent VAT), the following average annual burdens would result for the different households:

Compared to the full VAT rate, the single household would have a saving of 119 euros per year, the couple household 265 and the family household 433 euros. The reduced VAT rate reduces the burden on all three model calculations by 10 percent. After all.