At the beginning of 2014 there will be no tax on interest on deposits, introduced this year at the request of the Minister of Finance of the fromer Government, Simeon Dyankov. This says the personal website of MP Dora Iankova of the leftist Coalition for Bulgaria. She is a member of the Committee on Budget and Finance Committee in Parliament.
This tax is further evidence that GERB unleashed the burden of crisis to be borne by the poorest and most honest Bulgarians and so we think it should be discarded, said MP.
The tax was introduced on the grounds that so all income sorces of the citizens are placed in a regime with a tax of 10 per cent. Simeon Dyankov emphasized that the expected fiscal impact of it is low – about 120 million lev per year, but it is more a thing that pursues more justice in society.
This amount will be unattainable, commented specifically for the BANKER representatives of the NRA. They explained that by the end of the year from this source endash it is unlikely to gain more than 70 million levs. This is no small sum, but it is not also very high, given that, for example monthly pension is spent well over 400 million levs, commented by NRA. During the first month of collecting the tax – February this year what was harvested from unhappy investors was just over 8 million levs, but month by month since then the amount has been decreasing and is now around 7 million levs, said the NRA. For the first ha;f of the year around 36 million levs have been collected from this tax.
Banks and the public reacted strongly against the introduction of the tax because, according to the statistics of the National Bank, the huge number of deposits in banks are under the sum of a thousand levs each. Against the move spoke C-Bank Governor Ivan Iskrov at a bank conference on Tuesday (July 2) when he called it ridiculous. The BANKER had made this tax one of the front topics of struggle against Dyankov’s financial policy and is now happy to see the success of its efforts.
Iankova commented on her page that the real problem currently amounts to billions in offshore accounts that do not pay taxes and are detrimental to the state. In this context, there is a motion within the employers’ organizations that offer cash transactions to offshore locations to be taxed. Finance Minister Peter Tchobanov said on Monday that the idea will be discussed, and that it is a novelty in the European context.
