BUSINESS BRIEFS

State to cut payroll taxes

FROM January next year the government intends to cut payroll taxes from the current 50.8 percent to 47.55 percent. The Labour Ministry says that this is just the start in a series of reductions. These reductions would first come from employers' contributions.

Business leaders welcomed the changes cautiously.

"On the one hand they are reducing payroll taxes, but other costs are rising for employers, mainly linked to energy purchasing," said Tibor Gregor, from Klub 500, which represents companies with more than 500 employees.

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