Tuesday, October 1, 2013

A Taxing Month

October greets us with warm weather and a national tax increase.

The Italian economy has been in free fall for years. Italy is the only EU country clearly in recession, and the major problems began two years before the crash of 2008. Unemployment has reached frightening levels far worse than those of Spain, Greece or Britain.

The Italian solution? Raise taxes. (Well, to be fair, that's the "solution" in many places, not just Italy.)

Today the IVA, the national value-added or sales tax, on most consumer goods has gone up, to 22 percent.

How will this affect your visit to Sicily? Very little. Until yesterday the tax was 21 percent, and it's in line with most countries in western Europe. Consider, however, that in most parts of the United States it's nearer 8 percent.

No comments: