Baltic News Network

Politologi­st: inability to agree on tax policy could mean crisis in government


The inability of the ruling coalition to reach an agreement on the country’s tax policy may mean a crisis in government, comments politologi­st Filips Rajevskis.

He notes that the unresolved matter regarding the tax policy is too important to assume nothing is wrong in the government.

Rajevskis believes the intention to refuse minimal social fees and increase microenter­prise tax rate to 15% is an important matter for the state that impacts all residents.

«If no mutual agreement is reached between two largest coalition parties, the road will end in crisis,» – said the politologi­st, adding that both the Union of Greens and Farmers and Unity should come to a compromise. He believes fundamenta­l matters like tax policy changes should be supported by the coalition and opposition.

The inability to find a compromise casts a shadow of doubt at the possibilit­y of the government reaching an agreement on the medium-term tax policy strategy, said the expert.

He said it is confusing that politician­s managed to agree on an entire reform plan, but not amendments to one specific law. Rajevskis did not deny that inability to reach an agreement on necessary tax changes could result in the government’s premature fall.

 ?? Author: Lita Krone/LETA ?? Filips Rajevskis.
Author: Lita Krone/LETA Filips Rajevskis.

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