Non-taxable salary components to remain the same – Contributions could be lowered
In mid-July, when the reduction of the salary tax and the facilitation of business were announced, Mali had several options at his disposal.
The Government considered reducing the contributions charged to the employer and the employee, but also increasing the non-taxable salary components, which now amount to RSD 15,000.
As Blic learns, in the past days, during the intensive talks between Serbian officials and IMF representatives, the first option, to increase non-taxable parts of the salary, was rejected, but the intention to help the economy remains.
It is certain that there's a possibility of reducing the contributions charged to the employee and the employer. Which part is to be reduced and by how much depends on the budget. For now, it is certain that there's room for the reduction. With 63% on the average net salary, Serbia is slightly below the CEE average, which is 68%.
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