Business against IMF for raising taxes

27/06/2011 08:20

The suggestion of the head of IMF mission, Gerwin Bell, for reviewing the tax
level as a measure for decreasing debt has caused strong reactions from
the Albanian business.

Although the answer of the Finance Minister was an immediate “no”, promising to make only some adjustments, the business doesn’t seem happy with that.

According to “Shqip” newspaper, the Albanian Industry Confederation opposed IMF suggestion for raising taxes as a means for compensating the fiscal income in the budget during the first 6 months of 2011, based on the decline of the fiscal performance in the Albanian economy.

Gjergj Buxhuku notes that the consequences of the tax increase would be very negative.

“First of all, the plan for raising taxes, in the conditions that we are today, means that despite the heavy fiscal consequences, the inner demand and the buying power will continue to decline, seriously risking to put the Albanian economy in a closed circle, which puts in discussion the hopes and opportunities for a future growth”, said the General Administrator of the Albanian Industry Confederation.

According to him, the data of the first trimester 2011 clearly show a visible decline in consume products, which support the abovementioned reasons.

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