BRATISLAVA, September 25, (WEBNOVINY) — Slovak entrepreneurs are again protesting against how the government distributes investment aid. “While the selected companies have conditions for business improved via the zero tax rate, these principally deteriorate in the case of an absolute majority for which the income tax jumps four percentage points to 23 percent,” says the President of the National Association of Employers, Marian Jusko. Employers believe that the government should re-evaluate its policy of providing investment assistance and rather concentrate on improving the business environment for all.
The association does not understand why the government wants to support also projects with investment stimuli that only promise to preserve jobs. According to Jusko, the promise of keeping employment during an agreed-upon time will prompt also other firms to flood the government with applications for the stimuli. Employers do no like either that labor legislation is becoming tougher, the minimum wage grows along with taxes and payroll levies on the one hand while on the other hand the government wants to offset these negative impacts for some firms with investment stimuli.
At its last sitting the Cabinet had on its agenda the provision of investment incentives to nine investors who demand tax relief totaling EUR 101 million. The investors were to invest almost EUR 338 million and open some 1,900 jobs by the end of 2017. Ministers however interrupted the discussion on the issue and asked the Economy Ministry for some additional information.
SITA