Amendments to tax acts for fiscal year 2012

Amendments to tax acts for fiscal year 2012

The government today introduced a bill to the parliament on tax rates for fiscal year 2012, as well as certain amendments to the income tax act and certain other tax acts.

According to the bill, the corporate profit tax rate would be decreased from the current 26 percent to 25 percent. The tax rate on capital income would be raised from 28 percent to 30 percent. Taxation of capital income would be made partly progressive, since for the part capital income exceeds 50,000 € it would be taxed at the rate of 32 percent. The maximum amount of tax exempted dividends from privately held limited liability companies would be decreased to 60,000 Euro from the current 90,000 Euro.

Please read the entire report here.