Finance Minister introduces tax reform in steps

The state intends to support families with children to a greater extent than before. Finance Minister Igor Matovic (OLaNO) announced this on Sunday as part of the new tax reform. Contributions will vary depending on whether these are paid to working or non-working parents. The measures will bring €200 monthly per child to families with at least one working parent and €100 to families with non-working parents. The increase in family support, presented by Igor Matovic on Sunday, will swallow an extra €1.2 billion from the state budget. According to the minister, the extra expenditures should be covered, for example, from a millionaire tax of 0.1 percent p.a. on property exceeding €1 million. However, this will require a property declaration to be filed by everyone whose assets are worth more than €1 million. Other measures to ensure funding for the reform include a 2-percent slimming down of the labour force in public administration and a reduction in military spending, said Matovic.