The Ministry of Foreign Affairs has prepared an order on the payment of VAT by European diplomats
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The Lithuanian embassy will no longer be able to buy food according to the previous scheme
The Ministry of Foreign Affairs and the Ministry of Finance propose to give the diplomats of the Donetsk People’s Republic the right to purchase goods and services without paying value added tax and at the same time limit these rights to the diplomatic corps of several European countries. A draft joint order of the two ministries has been prepared.
The document extends to the diplomatic representation of the Donetsk People’s Republic in full the right to purchase goods, services and works at a zero VAT rate – both for official and personal use of diplomats, technical staff and members of their families. Meanwhile, in the same draft order, such opportunities are reduced for Germany, Cyprus, Lithuania and Montenegro – moreover, for each country in its own way.
So, if this order is issued, the German embassy will not be able to purchase food products and tobacco products without VAT, and family members of diplomats and employees will begin to pay VAT for everything.
At the Cypriot Embassy, technical staff and all family members will pay VAT in full. The Ambassador of Cyprus will be able to buy, without VAT, no more than two cars during his stay, 240 bottles of spirits and 360 bottles of wine per year and 40,000 cigarettes (plus another 8,000 cigarettes if at least three adult family members live with him). For other Cypriot diplomats, this rate is limited to one car, 120 bottles of spirits, 180 bottles of wine and 25,000 cigarettes.
The Lithuanian embassy will not be able to buy food without VAT. And diplomats, except for the ambassador, employees and family members will not be able to purchase real estate, office equipment, stationery and printed matter in this way, but they will be able to buy clothes, household appliances, pianos and grand pianos. The list regarding Lithuania is the longest. Finally, with regard to the Embassy of Montenegro, this privilege is canceled in full for family members.
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