THE FINANCE Ministry is proposing an increase in the proportion that self-employed people (SZČO) can deduct from their tax base in the form of the so-called “flat expenditures”.
Originally the ministry planned to introduce an expenditure rate of 35 percent for all groups, instead of 60 percent for craftspeople and 25 percent for other SZČO. Now, the ministry is proposing that the 60-percent for craftspeople be retained and raising the 35-percent for other SZČO to 40 percent, the daily Pravda reported.
The flat expenditures amount is deducted from the SZČO's overall earnings per year together with the payroll taxes that SZČO pay to social and health insurer, thus lowering their actual tax base.
According to Pravda, the proposed adjustment would result in an annual saving of Sk5,500 (€143) per year for a SZČO who makes Sk35,000 (€910) per month.
Compiled by Martina Jurinová from press reports
The Slovak Spectator cannot vouch for the accuracy of the information presented in its Flash News postings.
22. Sep 2005 at 8:54