Covid tax on receipts (and not only), the risk stinged and the reasons of the traders

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It was renamed the “Covid tax”. A tax that goes from 2 to 4 euros applied by some operators and also reported on the tax receipt as a contribution for the sanitation and safety of the environments. The use of ‘Covid-tax ‘, reported in recent days by Codacons, has also been reported by other consumer associations. Codes Lombardia, for example, reports a case registered in a beauty center in the center of Milan.

Still the Codacons denounces a “sanitation tax” which would be “imposed by numerous car repair shops to its customers who ask for repairs or interventions on cars”. Basically, explains the association, “when a motorist takes their car to a workshop for periodic service or for repairs or maintenance, many operators bind the intervention to a mandatory sanitation of the car”. A practice that the president of Codacons Carlo Rienzi defines “completely illegal”.

covid-2 fee

For the Codes association, “the application at the discretion of some commercial activities, such as hairdressers and beauticians, leaves some doubts: if it is a contribution, it must be the same for everyone and required by law “.

“Traders – reads the note – justify their application with the need to recover the resources spent on sanitizing the workplace, even if the Relaunch Decree already provides for a 60% tax credit on expenses made in 2020 , up to 60 thousand euros, for the sanitation and adaptation of the premises: the reimbursement is valid for the purchase of protective devices such as masks and gloves, but also for the installation of separating barriers. It could be considered as a contribution of solidarity for the drop in turnover over 80%, but why is VAT charged on it? “.

Covid, the top ten of the price increases in April

Other times, much more often, the increases are not reported on the receipt. But we still pay them. A few days ago, the National Consumers Union drew up the ranking of products that experienced the highest price increases in April. “Unfortunately – explains the UNC -, as it was not difficult to imagine, they are those goods that have been most sought after by consumers to face lockdown in the best way and strengthen hygiene precautions, both personal and relative to their home”.

N

Product Monthly inflation Annual inflation
1 Fresh vegetables 6.9 6.4
2 fresh fruit 3.7 9.6
3 Potatoes 3.7 5.7
4 Butter 1.9 2.4
5 Packaged bread 1.7 3.8
6 Detergents and household cleaning products 1.6 3.3
6 Other edible oils 1.6 3.4
7 Flour 1.5 2
8 food 1.3 2.8
8 eggs 1.3 3.1
8 Jams, jams and honey 1.3 1.5
9 Preserved milk 1.2 3.8
10 Other medical products (disinfectants, thermometers …) 1 1.8

(Source: National Consumer Union on Istat data)

Stave Covid on holidays

And again: the “usual” Codacons warns of possible increases on summer holidays and speculates that a 10-day holiday could cost between 18% and 20% more than last year. According to a survey conducted by Facile.it, 55.2% of Italians, around 24 million individuals, will give up their holidays. A substantial slice of citizens who will not contribute to the economy of the tourism sector.

Covid-tax, the reasons of the traders

So far consumer associations. Then there are the reasons for the exhibitors. After 70 days of forced closure those who managed to survive the lockdown must invent something to stay afloat. And the tax credit becomes a hot patch if there is no liquidity left.

According to Fipe (Italian federation for public businesses) companies reduced their revenues by about 70% compared to the pre-lockdown period.

“Unfortunately, the data that emerged from the analysis of this first week of work are clear – he said Aldo Cursano, Vice Vice President of Fipe – We knew that it would be a slow restart and that the recovery process will not be short, due to the few customers and the almost total absence of tourist flows, the lifeblood for the whole sector. For this reason, we are increasingly convinced that the real challenge will be to bring people back to the premises, also through promotional and communication activities that encourage customers to return to consumption, also by leveraging on the economic advantage. However, it is shown that without new and effective support actions many companies risk not succeeding “.

Consumption down by 84 billion euros

The Confcommercio Studies Office for 2020 it has estimated a drop in consumption of almost 84 billion euros (-8% compared to 2019). A bloodbath. Over three quarters of the loss of consumption is concentrated in a few spending sectors: clothing and footwear, cars and motorcycles, recreational and cultural services, hotels, bars and restaurants. The latter two, in particular, are the sectors that record the falls heavier: -48.5% for accommodation services and -33.3% for bars and restaurants.

“I put a Covid tax on the receipt, I think it’s correct”

But the restart is tough for everyone. If the restaurant business is on its knees, hairdressers and beauty salons are not doing gold business. Sergio Gnan, hairdresser, owner of a salon in Mestre for 30 years, is among the traders who have decided to insert the ‘Covid-tax’ on the tax receipt. And proudly claims his choice. “The contribution on the receipt was motivated and explained to customers” he said in Tagadà, on La7. “I think it’s an honest and due thing for everything that entails reopening. I didn’t want to be smart, spreading the amount on the services. I chose fairness and transparency, as I always did with my clients.” The owner explained that the reopening – between sanitation costs and more – cost him about 3-4 thousand euros, “but we had a 40-50% reduction in customers”.

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