ZAGREB, Sept 8 (Hina) - The Committee for Strategic Decisions of the Presidential Council believes it is necessary to introduce a 0 per cent Value Added Tax rate on bread, milk, books and drugs, and increase taxes on luxury
goods.
ZAGREB, Sept 8 (Hina) - The Committee for Strategic Decisions of the
Presidential Council believes it is necessary to introduce a 0 per
cent Value Added Tax rate on bread, milk, books and drugs, and
increase taxes on luxury goods. #L#
The Presidential Council Committee for Strategic Decisions on
Wednesday held a session under the chairmanship of Croatian
President Franjo Tudjman. The session discussed measures for
further securing stability and stimulating development, said a
statement from the President's office.
The session was informed about the positive effects of Value Added
Tax the introduction of which has increased the financial
discipline and facilitated the fulfilment of those obligations
which Croatia, as the only one among countries in transition, had to
fulfil: refugee accommodation, the reconstruction of war-ravaged
areas (houses and commercial facilities), as well as the
accommodation of Homeland War victims and invalids.
With the aim of improving the status of socially most destitute
categories of population, the session stressed the need for
introducing a 0 per cent VAT rate on bread, milk, books, and drugs
which are on the list of the Health Insurance Fund. The session also
suggested that the VAT rate on luxury goods be increased so that
holes in the budget could be avoided.
Participants in the discussion said it was necessary to widen the
National Employment Programme by stimulating the employment of
qualified workers and young people who have registered with the
Employment Bureau for the first time.
The session warned about the high interest rates economic subjects
are facing and proposed measures aimed at stimulating banks to give
more favourable loans, which, in turn, would stimulate the economic
development, the statement said.
(hina) jn rml