The Employers and Industrialists Federation informs you that the Tax Department has issued a circular stating that, based on Decree K.D.P. 354/2026, published in the Official Gazette of the Republic (E.U. Par. III Part I, No. 6050, 30.9.2026) by decision of the Council of Ministers, the Value Added Tax Law is amended, so that a zero VAT rate is imposed on basic items:
A. From 1 October 2026 to 31 May 2027 as follows:
Meat fresh or chilled or frozen
(1) Bovine meat (CN heading codes 0201 and CN 0202)
(2) Meat of swine (CN code 0203)
(3) Meat of ovine or caprine animals (CN heading code 0204)
(4) Offal of edible carcasses, bovine, porcine, ovine and caprine animals (CN heading codes ex 0206)
(5) Meat and meat offal of edible carcasses, poultry of heading 0105 (CN heading codes 0207)
(6) Meat and offal of edible carcasses, rabbits and hares (CN heading codes ex 0208)
It is noted that the reduced VAT rate of 5% is still charged to meat preparations, such as marinated meats, smoked, wine sauce, sheftalies, burgers, chicken nuggets, sausages, lountzes, roasts, gyros, polypif, diaper, etc.
Fish fresh or chilled or frozen
(1) Fish (CN codes 0302, 0303 and 0304)
(2) Cuttlefish, squid and octopus (CN heading codes ex 0307)
It is noted that fish preparations, such as canned fish, smoked fish, marinated, breaded, etc., are still burdened with the reduced VAT rate of 5%.
B. From October 12, 2026 to May 31, 2027 as follows:
Bread: all types of fresh or frozen bread with or without sourdough (e.g. white, black, whole grain, multigrain, rustic, rye, corn bread, baguette, ciabatta, sliced bread, loaves, pies). It does not include pastries, dried bread and any bread with added ingredients such as e.g. raisins, nuts, aromatics.
Milk: fresh milk (e.g. cow’s, goat’s, sheep’s), sweetened, condensed, long-lasting, flavoured milk (e.g. chocolate, banana), plant-based milk (e.g. almond, soy, rice).
Coffee: unroasted, roasted, ground, powdered, instant coffee, flavored, caffeinated or decaffeinated coffee in any packaging. (Not included are ready-made drinks or beverages containing coffee consumed cold or hot).
Sugar: crystalline (white, brown, black), fine (powdered), coarse, diced, in sachets.
Baby food: powdered, dry and/or wet, intended for consumption by children. Snacks are not included (e.g. chips, nuts, candy, chocolates, ice cream, yoghurts).
