The government does not wish to additionally tax entrepreneurs, and all criticisms of amendments to tax laws can be analysed in government and parliament after the ongoing public consultation is concluded, Finance Minister Zdravko Maric said on Tuesday.

Asked by the press if the plan would be scrapped after entrepreneurs’ heated reactions to announcements that the base for calculating wage contributions for management board chairpersons and members would be increased, Maric said a public consultation was under way, that such reactions were a result of it and that the government would consider them.

The Finance Ministry has put to public consultation, among others, a proposal to increase from 0.65 to 1.1 the base for calculating the pension and health contributions on the average gross salary of management board chairpersons and members, a move which has been strongly criticised by entrepreneurs.

“There have been many comments, some perhaps a little strong, but we are considering them all and will find the best solution,” Maric said, adding that the government and his ministry had shown they can listen to critics.

As for the plan to raise the contributions base for directors and board members, which small and medium enterprises loudly oppose, he said that the government had cut profit tax and introduced the calculation of profit tax on amounts collected and not accounts receivable.

“Our idea from the beginning has been to stimulate and encourage enterprise and I’m sorry if, perhaps in some things, one gets the impression that this is some sort of counter blow. Not at all,” he said.

Asked if the ruling coalition partners thought like that as well, Maric said they did and that the biggest change in the tax reform would be the reduction of VAT on fresh meat, fish, fruit and vegetables. The reduction of contributions for employment and safety at work is another big change, he added.

“It’s not our intention to cause any additional burden on enterprises, especially small and medium ones,” Maric said.

Asked if he was willing to scrap the contentious changes, he repeated that the public consultation was under way until September 6, to be followed by a government discussion and two parliamentary readings.

There will be plenty of time for a discussion so the changes can go into force on January 1, 2019, he said.

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