Czech News Daily

New VAT proposal

The proposal of a pension reform that is being finished by an expert commission led by Vladimir Bezdek is much more radical than expected. According to the proposals, the Czechs might pay less money from their salaries for pension insurance in the future, but at the cost of a step increase in the prices of food, medications and other goods. Instead of today’s 28 %, people would contribute only 23 % of their salary, saving additional 3 % to their individual pension account, either obligatorily, or voluntarily. According to the proposal, the changes are supposed to begin in 2015 at the latest.  Source HN 1