The transaction tax is irrevocable as it brings in a volume of money necessary for fiscal consolidation, Prime Minister Robert Fico said at a press conference on Sunday. He added that recent discussions have only addressed correcting technical issues, not abolishing the tax.
Fico announced that the government will soon present a consolidation package for 2026 and will continue with fiscal consolidation efforts, "even if it hurts," although the scale of measures for next year will be smaller.
Meanwhile, Slovak National Party (SNS) leader Andrej Danko acknowledged that removing the transaction tax would create a budget shortfall but argued that alternative funding sources could be found.
According to Freedom and Solidarity (SaS) leader Branislav Gröhling, savings could be achieved by cutting unnecessary ministries, limiting procurement, or better targeting social benefits.
As of April 1, legal entities and individual entrepreneurs in Slovakia are subject to a financial transaction tax. The rate is 0.4% of the transaction amount, with a cap of €40, and cash withdrawals are taxed at 0.8%. The measure is expected to generate about €700 million annually for the national budget.
Source: TASR
