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| New income tax system will leave lowest paid no better off |
| Prag, 22.09.2020 |
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| In a major change to the Czech Republic’s income tax system, what’s known as the super gross wage is being abolished, with most employees set to pay a 15 percent rate from next year. However, the change will cause a sharp fall in state revenues and, suggests a new study, will be of virtually no benefit to the lowest paid.
For over a decade, the Czech Republic has been using what is known as the super gross wage to calculate income tax. It is the sum of an employee’s gross salary plus social and health premiums.
That system is set to end in January 2021, when a new income tax rate of 15 percent will come in for almost all employees.
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Address : Euro-Brew Ltd., Hlboká 22, 917 01 Trnava, Slovakia
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