Czech government introduced new key reforms

Yesterday the government of the Czech Republic officially introduced new key reforms that will affect almost every Czech citizen. If the reforms are approved by the Chamber of Deputies, which is very uncertain now, it should, according to the coalition politicians, help the state budged, whose debt grows every year.

First of all, income tax ranging now between 12 and 32 percent would be changed into a flat tax of 15 percent but counted from “super gross”, which means that social and health insurance would be included in the base for counting the tax. It would be compensated by higher tax deductions.

Sickness benefit would be paid from the fourth day of illness. The age people retire, would be increased to 65 after the year 2030. The VAT on food, medicines and some services will be increase from 5 to 9 percent.

If the reforms are not approved, the government is prepared to resign and call early elections.

Hotel U Tri Capu Prague

Luxury boutique hotel situated in the historical heart of Prague

Hostel Tyn, Prague

Hostel in the heart of old Prague, all attractions of Prague within reach.

Related Articles