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LOWER HOUSE ADOPTS LAW ON AMENDMENTS TO PROFIT TAX LAW

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ZAGREB, 6 Dec (Hina) - The Parliament House of Representatives on Friday adopted a Law on Amendments to the Profit Tax Law, but only after a heated discussion, a break and individual vote-taking on an amendment by a HDZ representative Ivan Kolak. The law was adopted with 68 votes in favor, 18 against and two abstentions.
ZAGREB, 6 Dec (Hina) - The Parliament House of Representatives on Friday adopted a Law on Amendments to the Profit Tax Law, but only after a heated discussion, a break and individual vote-taking on an amendment by a HDZ representative Ivan Kolak. The law was adopted with 68 votes in favor, 18 against and two abstentions. #L# According to the act, the profit tax rate was raised from 25 to 35%. The HDZ representative Kolak withdrew his amendment, adding he would devise an integral bill on profit tax during the next year. Nineteen representatives voted in favor, while 77 voted against Kolak's amendment. The House of Representatives adopted with a majority vote a Law on Amendments to the Income Tax Law, decreasing the income tax rate from 25 to 20%. The basic salary was raised from 700 to 800 kuna. The MPs decided to abolish land revenue as a measure for the establishment of income tax in agriculture and forestry. Pension allowances earned abroad will not be taxed either. The House of Representatives adopted a Law on the Postponement of Value Added Tax until 1 January 1998. The law was adopted in urgent procedure. The MPs did not pass into the second reading the second proposal by the Istrian Democratic Alliance (IDS) on amendments to the Value Added Tax Law. The House of Representatives passed into the second reading a bill on the prevention of conflicts of personal and public interests during the performance of state officials' duties (proposed by Vladimir Seks, HDZ). A vote on an IDS bill on the publishing of data on the property of Croatian state officials was postponed until the House of Counties voice their opinion on the issue. The House of Representatives also adopted a Law on Additionally Charged Stamps, according to which the payment of additionally charged stamps would be voluntary. The lower house also adopted a Report on the work of the State Audit Office in 1996 and a Report on completed audits in 1995. It also voiced unanimous support for a Report on the work of the Commission for Missing and Imprisoned Persons (in the period from 10 June to 28 October). The House of Representatives will continue the 14th session on Wednesday, 11 November, with a discussion on a final bill on the rights of Croatian Homeland war soldiers and members of their families. (hina) rm 061909 MET dec 96

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