Nezavisne novine: The National Assembly of the RS has yesterday adopted the Law on Changes and Amendments to the Law on Tax on Income by which a particular rate of 8% for taxation of individual incomes, has been introduced, and the Law on Contributions by which the total summed rate of the contribution on gross salary in the RS has been increased from 28% to 30.6%.
Aleksandar Džombić, Minister of Finance of the RS, has said that the Law on Tax on Income and the Law on Contributions are unique and are solving the burden per one employee, by pointing out that these are the reform laws and they improve functioning of the pension and health care system.
Džombić has said that the Government has accepted the initiative of the Alliance of Unions of the RS and the Economic chamber of the RS that the contributions get paid on realistically paid salaries, but not on the lowest basis, as it has previously been prescribed, which cannot be smaller from 50% of an average paid salary in the RS.
He has said that by the Law on Tax on Income while calculating the contribution and tax on income the transfer to the model of calculation of the gross salary in the RS, is being ensured, and there has been introduced a particular rate of 8% for taxing individual incomes and a proposed rate has been 10%, but there has been adopted an amendment of the SNSD, by which the reduction to 8% has been requested.
From the total summed rate of the contribution on grow salary in the RS, contribution for the PDI has been increased from proposed 16 to 17%, for health insurance from 10 to 11.5%, for children’s protection from 1.30 to 1.40%, while the contribution for insurance from unemployment has remained 0.70%.
Džombić has said that a standpoint of the Ministry of Finance of the RS is that it is not possible to abolish or reduce the rate of contribution on paid pensions of 3.75% for health insurance.
Ranka Mišić, chairman of the Union of the RS, has expressed a “huge worry and fear because she thinks that by the Law on Contributions, position of workers in the RS will be additionally weakened”.
“Low salaries and new impositions on such low salaries will additionally harden the situation and the economy will face the new challenges. The question is how the economy will endure the additional burden on already bad condition. The economy should be disburdened because there is no development of the RS if there is no development of economy, and these laws do not promise it”, she has said.
The chairman of the Association of pensioners of the RS, Rade Rakulj is also dissatisfied by the adopted laws because he thinks they will additionally burden pensioners and that they are “an imposition on their usually small pension”.
Muharem Murselović, member of the Party for BiH, has said that he is interested what can be the final result of increasing the total rate of contribution on gross salary from 28 to 30.6% in the time of a global economic crisis, which will not pass by BiH.
The Parliament of the RS has on Tuesday night adopted the budget of 1.67 billion KM.