I am curious to understand how the new VAT rules will apply when it comes to the power bill. Will it be "inside" or "outside"?
Let's see, assuming that VAT is 26.5% for the electricity bill.
An electricity bill, net of taxes, for example, which has the costs charged as established by the regulator (ANEEL) and totals $ 100 thousand.
VAT as calculated "inside" will be 26.5% of $ 100 thousand, or $ 26.5 thousand.
The total bill (energy + taxes) would therefore be $126 thousand.
Or will it be calculated "outside" as currently where the total bill with VAT is $100 Thousand/(1-26.5%) = $136 Thousand?
The question is: will it be 26.5%Â or 36%?