5.5% VAT extended to all household waste collection and treatment services
Article 81 (II) of the 2026 Finance Act applies the reduced 5.5% VAT rate (Article 278-0 bis M of the General Tax Code) to all collection and treatment services for household waste and other waste that local authorities can collect and treat without special constraints, no longer only to separate collection, collection at recycling centres, sorting and material recovery. The 10% rate that applied to other collection and treatment services (Article 279 h) is repealed.
Measure originators
A positive amount is revenue or savings for public finances; a negative amount is a cost or lost revenue.
Measure impact
Local authorities funding household waste collection and treatment pay 5.5% VAT instead of 10% on mixed collection, incineration and landfill services. The Government estimated the gain for local authorities at €60M a year and the loss for the State at €40M a year.
Official references
Sources
Procedure timeline
Follow the progress of this fiscal measure through the different stages of the parliamentary procedure.
Administrative implementation
Entrée en vigueur de la mesure et mise en œuvre par l'administration
President of the Republic signature
Publication au Journal officiel
National Assembly has the final say
Si échec CMP
Debate and vote
Council of Ministers
Validation interne