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nedelja, 17 januarja, 2021

Higher taxes, higher rents: how Šarec’s government plans to make Slovenian citizens even poorer

The coalition agreement of Šarec’s government has kicked up a lot of dust with the announcement that personal income from capital and annuities would be included in the base for income tax assessment. The main concern was how this would affect entrepreneurs, but the fact is that entrepreneurs will not be the only ones to suffer. Young people renting their homes will be affected the most, since the inclusion of annuities in the base for income tax assessment is expected to cause higher rents.

The coalition agreement of Marjan Šarec’s left-wing government has kicked up a lot of dust with the announcement that personal income from capital and annuities would be included in the base for income tax assessment. Most predictions in the media concerned plans of entrepreneurs to move their capital to friendlier countries, but it is high time that we also discussed the other members of society that will suffer because of the foolish policies of Šarec’s government.

With the inclusion of annuities in the base for income tax assessment, it can be expected that rents in the country will increase, since landlords will transfer the tax increase to renters by increasing rents. Given that the vast majority of tenancy agreements are concluded for a period of eleven months, we can expect rents to rise when the new agreements are signed.

Young people, families, people who are less well-off and pensioners will be the ones to suffer   
This means that the reckless policy of the ideologically blinded left to raise taxes will hurt young people and families who are not owners of their homes, because at the end of the day, they will be the ones that will have to cover the higher taxes through higher rents. But the Left does not care.

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