Harmonised index of consumer prices at constant tax rates, Slovenia, June 2021
In the 1st half of 2021, changes in excise duties and taxes lowered the cumulative inflation by 0.1 p.p.
In the first half of 2021, the calculation of the motor vehicle tax changed, and the VAT rate for women's hygiene products decreased. Changes in excise duties and taxes lowered both the semi-annual and annual price growth of consumer prices (by 0.1 p.p. and 0.5 p.p., respectively).
Lower excise duties and taxes lowered annual price growth by 0.5 p.p.
In the first release this year, we summarise the changes in taxes that took place in the first half of 2021: the motor vehicles tax calculation changed and VAT on women's hygiene products decreased.
At the annual level, in June 2021 the difference between the harmonised index of consumer prices (HICP) and the harmonised index of consumer prices at constant tax rates (HICP-CT) was 0.5 of a percentage point. The annual growth of prices measured with the HICP was 1.7%, whereas with unchanged excise duties it would be 2.2%.
Comparison of HICP and HICP-CT data for the first half of 2021
In January, the calculation of tax on motor vehicles changed, but with no impact on either the group transport or the overall index.
In May 2021, the VAT rate for women's hygiene products was reduced (from 22% to 9.5%), yet this did not affect the overall index. At the lower level i.e. miscellaneous goods and services, the HICP was lower than the HICP-CT (by 0.1 of a p.p.). Therefore prices in this group decreased by 0.2%, whereas with unchanged VAT, prices would have decreased by 0.1%.
In the first half of 2021, the cumulative growth of consumer prices was 2.4%, but in case of unchanged excise duties it would have been higher (2.5%). At the annual level the indices differed: the HICP was 0.5 p.p. lower than the HICP-CT. This difference was due to changes in excise duties on motor fuels in the previous year. In 2021, however, excise duties on motor fuels did not change.
In the first release this year, we summarise the changes in taxes that took place in the first half of 2021: the motor vehicles tax calculation changed and VAT on women's hygiene products decreased.
At the annual level, in June 2021 the difference between the harmonised index of consumer prices (HICP) and the harmonised index of consumer prices at constant tax rates (HICP-CT) was 0.5 of a percentage point. The annual growth of prices measured with the HICP was 1.7%, whereas with unchanged excise duties it would be 2.2%.
Comparison of HICP and HICP-CT data for the first half of 2021
In January, the calculation of tax on motor vehicles changed, but with no impact on either the group transport or the overall index.
In May 2021, the VAT rate for women's hygiene products was reduced (from 22% to 9.5%), yet this did not affect the overall index. At the lower level i.e. miscellaneous goods and services, the HICP was lower than the HICP-CT (by 0.1 of a p.p.). Therefore prices in this group decreased by 0.2%, whereas with unchanged VAT, prices would have decreased by 0.1%.
In the first half of 2021, the cumulative growth of consumer prices was 2.4%, but in case of unchanged excise duties it would have been higher (2.5%). At the annual level the indices differed: the HICP was 0.5 p.p. lower than the HICP-CT. This difference was due to changes in excise duties on motor fuels in the previous year. In 2021, however, excise duties on motor fuels did not change.
Annual growth rates of HICP and HICP-CT, Slovenia
Source: SURS
Monthly growth rates of harmonised consumer prices at constant tax rates, Slovenia
Source: SURS |
When making use of the data and information of the Statistical Office of the Republic of Slovenia, always add: "Source: SURS". More: Copyright.
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