UNMIK/PR/905
PRISTINA – An extraordinary EFC meeting today endorsed the Government’s proposal for the revised Income Tax rate structure for 2003.
“This is a good proposal,” SRSG Michael Steiner said at the end of the meeting, ”I am happy to announce that I endorse this proposal and that I will amend the regulation accordingly”.
As agreed at the last EFC, the Government came with a new proposal and presented it at today’s extraordinary session. Discussions with the World Bank and advice from the IMF showed general agreement with the Government’s proposal.
Michael Steiner and Njazi Selmani, Senior Advisor to the Ministry of Finance and Economy, both praised the cooperation between the Government and UNMIK. “This is a very good example of an integrated approach. It was the total openness between the Government and UNMIK which produced this good result,” the SRSG stated.
The new Income Tax rates will be valid retroactively from 1 January 2003.
Until the administrative details are worked out the rates of 2002 will apply for an interim period of 2-3 months.
The EFC agreed that the Government would launch a campaign to inform the public of the new rates.
In accordance with the Government’s proposal, the applicable new tax rates will be as follows:
| Monthly income up to 80 € | 0 % |
| From 80 € up to 250 € | 5 % |
| From 250 € up to 450 € | 10 % |
| More than 450 € | 20 % |