After a government session held on Friday, Deputy Prime Minister Oleg Butkovic commented on the introduction of the excess profit tax in Croatia, saying it is not intended as punishment for entrepreneurs and that every kuna collected through the tax would go to those who needed it the most.

Earlier on Friday, the government sent the final bill on additional profit tax to parliament.

According to the government-sponsored bill, excess tax applies to companies with increased revenues, regardless of what kind of business they are doing. The new 33% tax will apply to companies whose revenues in 2022 are above 300 million kuna, provided that their profit in 2022 exceeds by 20% last four-year average profit.

Butkovic noted that the government has on several occasions introduced aid measures to help the people and the economy following the problems that arose due to the coronavirus crisis, and later the war in Ukraine. The measures were related to the prices of electricity, gas and thermal energy.

Butkovic described the introduction of tax on extra profit as a solidarity contribution of all those who made good profit and who generated good business results during that period.