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DECREASE IN CONTRIBUTIONS ON SALARIES WILL HELP CRO RAILWAY SAVE MONEY

ZAGREB, May 26 (Hina) - According to first estimates, a two-percent reduction of contributions for health and pension insurance assessed on salaries will positively affect the operation of the Croatian Railway (HZ) despite an increase in excise taxes on oil products. HZ officials have estimated that reducing contributions will help the company save 20.3 million kuna (US$2.4 million) by the end of the year. They also estimate that increasing excise taxes on oil products as of June 1 this year will have a negative effect on HZ's operation and cause the company to lose 11.4 million kuna (US$1.3 million) by the end of 2000. According to these estimates, the HZ would save almost nine million kuna (just above one million dollars) by the end of the year. The Croatian National Sabor's House of Representatives today adopted with a majority vote a package of bills increasing excise
ZAGREB, May 26 (Hina) - According to first estimates, a two-percent reduction of contributions for health and pension insurance assessed on salaries will positively affect the operation of the Croatian Railway (HZ) despite an increase in excise taxes on oil products. HZ officials have estimated that reducing contributions will help the company save 20.3 million kuna (US$2.4 million) by the end of the year. They also estimate that increasing excise taxes on oil products as of June 1 this year will have a negative effect on HZ's operation and cause the company to lose 11.4 million kuna (US$1.3 million) by the end of 2000. According to these estimates, the HZ would save almost nine million kuna (just above one million dollars) by the end of the year. The Croatian National Sabor's House of Representatives today adopted with a majority vote a package of bills increasing excise taxes on oil products, cars, alcohol, coffee, beer and tobacco. The increase in excise taxes on oil products will increase the price of petrol by 29 percent and of diesel by 13.7 percent. (hina) jn rml

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