Posted by on 24 Aug 2010. Filed under Business, Top news. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry

Mihal wants to increase levies for self-employed and freelancers

Labour minister Jozef Mihal has revealed the details of a plan to change the system of social levies, with the main target of increases being the self-employed (about 30,000) and freelancers like artists and journalists (20,000).

Mihal commented that as the change only affects some 50,000 people, there should therefore be no reason for concern, because the working population in Slovakia is around 2.4 million. He believes freelancers are among the most advantaged group of earners, because they only pay 13 percent of their total income to the state at present, while common employees have to say goodbye to about 43 percent of their salaries.

It is all very well playing with percentages and theories, but the whole point of these people being taxed less is that they generally are very low earners with unstable and irregular incomes. This could lead to a massive rise in the establishment of Ltd companies, if this is more advantageous for them in the end.

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