On October 1, 2013 the VAT rate in Italy was increased from 21% to 22%, leading to a rise in price of consumer goods, according to ee24.com citing italia-ru.com.
Prices should go up literally for all kinds of goods including clothes, household appliances, alcohol and cars. For example, gasoline has risen by 1.5%. In this case, the Italian government is going to mitigate the impact of rising prices by lowering taxes for businesses that create new jobs and increasing productivity.
At the same time, Italy is preparing for re-introduction of local property tax (IMU), repealed in 2008. The budget for the next year will be considered on October 15. It must be adopted before the end of the year because the financial stability of the country depends on this document.