Bratislava mayor says shrinking tax base will be detrimental

A proposal to increase the non-taxable portion of the tax base, sponsored by the Most-Hid party, will have significantly detrimental effects on Slovakia's regions and on Bratislava in particular, if no financial compensations are instituted, said Bratislava Mayor Matúš Vallo on Tuesday. He stated that if the proposal were passed, the city would see an annual loss of €12 million in income, nearly equal to the cost of the city's entire winter maintenance. Most-Hid proposes to increase the non-taxable portion of the tax base from 19.2 times the minimum subsistence income to 22.7 times that value. The party maintains that positive social effects can be expected from the resulting hike in net income for low and mid-income groups, as well as for the self-employed. The bill is scheduled to be deliberated at the current June session of the House.