January 18 (SeeNews) - Croatia's finance minister, Zdravko Maric, said on Thursday that no changes to the value added tax (VAT) rate would be made this year.
"The tax policy for this year has already been defined," Maric told the media in a statement aired by several broadcasters.
"We will use the year to carry out a thorough analysis ahead of further tax cuts", he added, noting that a VAT reduction is part of the government's programme.
Croatia's VAT stands at 25%, higher than the rate in most of the the country's EU peers.
The government also plans to cut property taxes, but only after VAT has been adjusted, Maric said.
Maric announced earlier that the cuts in Croatia's income and corporate tax in 2017 have led to the first general government budget surplus since the country's independence.