Fading chances of VAT refunds on construction materials for housing

Due to this it is planning to reject the opposition's draft bill, which would aim at compensating the increase in VAT rate on construction materials that came into force on May 1, 2004. Deputy Finance Minister Jarosław Neneman was explaining to journalists that the government could not afford to give away around zł.1.5 billion, which would be the rough estimate of the related costs of the draft to the budget. Moreover, the government fears that it might lead to trading VAT invoices. "I am surprised by the government's stance, as its representative was actively participating in the works in the financial sub-commission," said Barbara Marianowska from Law and Justice (PiS). Representatives of the sector also have some doubts whether the bill is feasible. (Puls Biznesu, pp. 1, 3, 4) M.M.