The VAT on pigs will be reduced to five percent from 1 January

The Value Added Tax of live-and half-carcased pigs will be reduced to 5 percent, from the current 27 percent from 1 January 2014.

The decision will enter into force, with the adopting of the tax laws. In spite of the reduction, tax revenues are expected to remain at level, due to the whitening of the sector – Fazekas Sándor, Rural Development Minister announced the government's decision on Thursday.
He also indicated that, the government is working to reduce VAT in other areas of the food industry. (MTI)