site.bta Socialists Suggest 20 Per Cent Income Tax to Be Limited to Really Rich

Socialists Suggest 20 Per Cent Income Tax to Be Limited to Really Rich

Sofia, January 17 (BTA) - The Bulgarian Socialist Party (BSP) suggests that the 7,000 earners of personal income exceeding 10,000 leva monthly be taxed 20 per cent, whereas the remaining 95 per cent of the population continue to be charged 10 per cent tax, BSP ranking member Dragomir Stoinev told a news conference at his party's headquarters on Tuesday.

So far, the Socialists have been campaigning for a progressive income tax system with multiple slabs.

Another idea in the BSP's election campaign manifesto is that 50 leva monthly per child be deducted for tax purposes from the aggregate income of each working parents' family.

"We want to revive the Bulgarian economy, focussing on the Bulgarian entrepreneur," Stoinev explained. He said that the tax burden on business will not be increased, as corporation tax and the tax on dividend will remain unchanged.

Another measure that the Socialists suggest is the establishment of an Industry Fund with an initial capital of 500 million leva to provide equity finance to enterprises in underdeveloped areas, and an Innovation Fund with an initial capital of 150 million leva for the development of computer experts and engineers in Bulgaria. Besides this, entrepreneurs aged under 35 will be exempt from profit tax for two years if they employ at least five workers and if their turnover does not exceed 150,000 leva, the BSP also plans.

The Socialists also suggest that only products manufactured in this country from Bulgarian inputs be designed as "Bulgarian".