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Montenegro

TAXES 17. 09. 2013.   >>  19:44 0

TAXES

Damjanovic: Who has more to pay more

Montenegro should reform tax policy and introduce a model which implies that those who have higher incomes and assets should pay higher taxes, but with the model of progression, not proportionality, as currently is the case, said Socialist People's Party MP Aleksandar Damjanovic to ''Dnevne novine''.

He believes that proposals for progressive taxation should be set out by the end of the month.

"I reckon it could be done during September in order to calculate possible changes and proposals for progressive taxation when determining the budget proposal for next year, during October and November, and to be able to put into practice possible amendments to the tax laws at the same time with the new budget year", said Damjanovic.

According to his words, Montenegro should be socially much more homogeneous society.

"The only way to reach this homogeneity is the social redistribution, which is only possible to achieve with a progressive taxation at high rates of high incomes in the broadest sense, as well as high assets - real estate an luxury - which was accumulated during "transitional" years by ''the winners of this transition", Damjanovic said.

He believes that the introduction of progressive rates would not have a crucial role for investment environment and legal entities that own several real estates, because if that was the case, then Sweden, Norway, Germany would be unattractive for investment, and the opposite is true.

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