BUSINESS IN SHORT

Cabinet approves tax shake-up

THE MUCH-DEBATED changes to Slovakia’s system of taxes and mandatory payroll levies were approved by the coalition cabinet at its session on May 18.

THE MUCH-DEBATED changes to Slovakia’s system of taxes and mandatory payroll levies were approved by the coalition cabinet at its session on May 18.

The measures include a so-called super-gross salary and reduction in payroll levies for social insurance and health insurance for some employees. The tax-exempt base is also proposed to be reduced from 19.2 times the minimum subsistence level to 18 times. In monetary terms, this means the tax-free base would be €200 less in 2012.

The mandatory health-care levy is proposed at 9 percent, except for the disabled who would pay half the rate. The proposed social insurance levy is 19 percent for employees, 13 percent for self-employed persons and 10 percent for people working via work contracts, the TASR newswire wrote.

A total of 99.5 percent of employees are expected to be better-off due to the changes. However, the changes will take more from self-employed people who earn more than €4,823 per year; their number is projected to be 180,400.

The Civic Conservative Party (OKS), whose four MPs sit in the parliamentary caucus of Most-Híd, is not in total agreement with some provisions of the proposal and. It says it is ready to challenge the new rules in parliament.


Get daily Slovak news directly to your inbox

Top stories

Slovakia orders a curfew and embarks on its COVID experiment

High turnout in testing in four northern districts, decision awaited on extending the project to the nation. Prison for a prominent prosecutor and parliament's speaker injured.

Waiting for the results of COVID tests during the pilot phase of the nationwide testing in the town of Nižná in Orava, northern Slovakia.

No balanced budget for next three years, this time due to COVID-19

2021-2023 general government budgets lack consolidation measures.

Finance Minister Eduard Heger

Pity the nation

Americans’ choice of president on November 3 will affect Slovaks too.

The second US presidential debate.

Extension of the tram line deeper into Bratislava’s Petržalka is closer to completion

After completion, passengers will be able to go from the very end of Petržalka to the city centre in 10 minutes.

The current tram terminal station on Jungmannova Street in Petržalka.