NewsLocalCyprus President refers two bills on VAT reduction to Supreme Court

Cyprus President refers two bills on VAT reduction to Supreme Court

President Nicos Anastasiades on Friday referred to the Supreme Court two bills voted by parliament on VAT reduction in Cyprus.

At the same time, he signed the bill on foreclosures, government spokesman Marios Pelekanos told the Cyprus News Agency.

“After receiving the opinion of the Attorney-General on the matter, the President has referred to the Supreme Court two legislative texts voted by the House of Representatives concerning the reduction of VAT,” he said.

“And this because they violate EU regulations and are against the principle of the separation of powers between the executive and the legislature,” he added.

Pelekanos also pointed out that the legislations in question “drastically reduce the state’s revenues, affecting the fiscal policy of the Government, which already implements specific horizontal measures to cover households and businesses, as well as measures aimed at our most vulnerable fellow citizens with a fiscal impact to the tune of €350 million.”

With regard to the bill on foreclosures, Pelekanos said the President has signed it.

Parliament rejected on August 2, in an extraordinary session, the referrals of the President of the Republic concerning a proposal to abolish double taxation on fuel, a proposal to abolish the VAT in electricity bills concerning emissions and the law on the suspension of referrals for three months.

The President of the Republic had the right to request an opinion from the Supreme Court on the constitutionality of laws or their provisions.

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