Tax restructure high on Government agenda

In a report from May 2018, the OECD identified that only 14% of total tax revenues in Slovenia comes from income tax (the average in OECD countries being 25%), while it collects 40% from social contributions (the OECD average is 26%). According to their assessment, such a system increases the cost of work and discourages employers from hiring. They propose that the major part of the tax burden should be transferred to income tax instead. So what changes are proposed in this area for 2019?

A comprehensive analysis of the taxation system, which has to be tax-neutral and must be based on the appropriate ratio of taxation of all the relevant factors, will have to be carried out to find solutions to reducing the burden on labour. But the problem is complex, and there is no simple solution that everyone would find acceptable. In principle, it...