Government ends Autovoucher and replaces it with PSI reduction

Autovoucher ends at the end of April and will be replaced by a "significant" reduction in PIT (fuel duty), says the Secretary of State for Taxation.

The Autovoucher, an aid from 20 euros paid by the state to families to subsidize rising fuel prices, comes to an end at the end of the month and will be replaced by a more aggressive measure in terms of tax cuts.

Government ends Autovoucher and replaces it with PSI reduction

As we explain, the Autovoucher will come to an end At the end of this month, this aid will be replaced by a more aggressive tax reduction measure. In principle, from May onwards, a reduction in the TIPP (tax on petroleum products) will be implemented. The government has not yet received the "green light" from the European Commission to lower the VAT rate.

"Since we still don't have the green light from Brussels regarding the VAT rate cut, what we're going to do is ensure that the Portuguese, when they go to the pump, in their final bill, pay for fuel as if it had a VAT rate of 13% and not as if it had a VAT rate of 23%, through a corresponding reduction in the PSI rate," explained the official.

According to Mr. Mendonça Mendes, this mechanism, which had already been announced by the Prime Minister at the end of last week, will continue in parallel with the weekly revision of the PSI price according to variations in the price of oil and the increase in VAT revenues.