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Food tax not reduced in foreseeable future

The planned reduction in the sales tax on food has not been incorporated in the 2007 budget that was introduced in parliament yesterday. According to Einar Oddur Kristjánsson, deputy chair of the Budgetary Committee, legal amendments are required if the food tax is to be lowered. The Prime Minister has said that a decision regarding the reduction in food tax will be made sometime in the next few weeks. This is reported by RÚV online.

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