Lithuania's Finance Minister-Designate Vilius Šapoka says that value-added tax (VAT) privileges for heating of homes is a faulty scheme, which will, however, continue until the end of this heating season.
Vilius Šapoka
© DELFI / Karolina Pansevič

"We will discuss the issue, I have no direct answer yet. But everyone probably understands well that the the character of the privilege is faulty, as it is used by the residents who need the privilege and those who are, in the back of their minds, ashamed of using it," Sapoka said in an interview to BNS.

Asked whether the privilege would be extended until June of 2017, the future finance minister said that a decision would be taken shortly.

In Sapoka's words, the new government will also decide on other VAT privileges, for instance, the 5-percent VAT tariff on expensive medication not compensated by the state.

Currently, the privilege VAT on heating is 9 percent, while the standard is 21 percent.

One more victory for Vilnius: Finnish company chose Lithuanian capital for its business services office

Metso has decided to establish a new Metso Business Services (MBS) center in Vilnius , the...

Klaipeda expects record number of cruise ships next year

Lithuania's port of Klaipeda says next year's cruise season should be the best on record, the...

Calls for Lithuania to focus more on climate change

Lithuania is among leaders in Europe in seeking energy independence but the country still lags behind...

Hot weather has brought harvest time earlier

Hot weather during this summer has brought harvest time earlier in Lithuania as the winter barley...

Renovated Palanga Airport will open next year

Next year, Palanga Airport will make travellers welcome in its renovated premises, announced...