Why are services of hairdressers and medics not cheaper?
Although the services sector was exempt from 20% V.A.T. since January 2010, the costs of services have not become cheaper.
It was assumed that we would pay less for services under a special provision in the Taxation Code, effective since early this year.
Tatsiana Masoyedova, the head of the revenue authority department in the Vitsebsk region, told the European Radio for Belarus that some services for the population are exempt from V.A.T (20 percent) since January 1. The list of these services includes hairdressers, saunas, laundries, dry cleaners, watch repairs and others.
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The V.A.T was abolished. But will the costs of services become cheaper? It turns out the prices have remained the same.
Euroradio: Do you work without VAT? If yes, have you reduced the costs of your services?
Aquatoria dry cleaner: "Yes, with the population we have worked without VAT, but it is not reflected in prices, of course. Why should we operate without profit? Please exlain why we should work without profit"
Saunas do not pay VAT since the New Year, but this has not reduced the costs of their services.
Sauna No 4: "We operate in accordance with the law. We do not charge VAT for these services. We have left the prices at the same level".
Hairdressers will not change the prices, either. Charaunitsa saloon told the European Radio for Belarus that the majority of hairdressers pay taxes according to a simplified procedure. "We did not pay VAT before, so we have nothing to abolish now".
Photo: photo.bymedia.net
