Croatia Maric Tax Tender

Changes within the fifth round of tax reform should bring growth in employment and wages said on Wednesday the Minister of Finance Zdravko Mari in the Croatian Parliament in which the package of amendments to tax laws that should enter into force on January 1 2021 was discussed in the second reading today . years.The changes should have a stimulating effect on employment and wage growth Maric said in a statement after the parliamentary debate.He estimates that the loss of tax revenues statically speaking due to the proposed tax changes could amount to two billion kuna per year but positive effects are expected for citizens and the economy.He also said that the new tax changes cannot cover all taxpayers but that about 900000 of them can expect financial benefits depending on the amount of income. He reminded that out of a total of 2.8 million employees and retirees 1.9 million do not pay income tax.Maric reiterated that the amount of salary is not determined by the law on income tax but by the contract between the employer and the worker.Extended scope of non-taxable receiptsHe pointed out that the Government is not giving up on the new wave of tax changes despite the situation with the Covid-19 epidemic and that this is an important part of its program offered to voters before the elections.So far changes in tax legislation have left more than eight billion kuna to citizens and the economy and the scope of non-taxable receipts has been expanded so that employers can pay a worker more than a thousand kuna a month without any benefits.The package of legislative proposals from the fifth round of tax reform includes amendments to the law on financing local units which regulate the increase of the share of these units in the distribution of income tax while the equalization fund is taken over by the state. There are also amendments to the laws on income tax profit tax VAT and fiscalization in cash transactions.