The new finance law project promotes employment and the creation of new SMEs.
28 November 2012
Read by 1510 persons
The interim Minister of Finance, Slim Besbes, indicated in an interview with the TAP Agency that provisions have been made within the framework of the 2013 finance bill project to increase the competitiveness of Tunisian businesses and, consequently, promote employment.
According to Mr. Besbes, the State aims to create 100,000 new jobs for the year 2013, including 30,000 in the public sector and 70,000 in the private sector.
The provisions of the 2013 Finance Bill in favor of employment support the measures in place to encourage recruitment and vocational training.
The project provides, in particular, for the exemption of the end-of-service bonus from the vocational training tax and the contribution to FOPROLOS, as well as the generalization of VAT to all beneficiaries of vocational training.
Furthermore, the draft new finance law reaffirms the maintenance of the measures initiated in 2012 in favor of special employment programs, he said, citing the 21/21 fund, which mobilizes 520 million dinars, and special programs (50 million dinars).
"The 2013 finance bill project also includes cyclical provisions relating to the encouragement of the creation of Small and Medium-sized Enterprises (SMEs)" indicated Mr. Besbes.
This is "budgetary sacrifices that go in the direction of economic efficiency and improved employment," he explained, starting from the following principle: when the economy is freed up, we obtain more significant tax returns, he said. "Our objective is not to seek tax yield by overwhelming businesses but, on the contrary, by their liberation and prosperity."
The State has also chosen, according to Mr. Besbes, not to exert tax pressure on businesses by increasing VAT, knowing that one VAT point allows the collection of 150 million dinars.
Actions are also planned in favor of families since the exemption from income tax granted for the first three dependent children will be, in the finance bill project, 100 dinars for each child, no longer taking into account the number of dependent children.
It is also planned to increase the exemption from income tax for the head of the household from 150 to 250 dinars.
The minister acknowledges that efforts must be made to correct certain aspects related to equity and tax justice. Several provisions are currently under development, under discussion within the government, concerning the restructuring of the tax scale. "Reflection has begun because one of the sources of inequity comes from a poor distribution of the burden of income tax, particularly between low and high incomes. This malfunction deserves to be corrected," he further stated.
Corrections must also be made to the "weak personalization of the links between income and family expenses." Mr. Besbes notes that there is not a big difference in taxation between a single person and someone who supports the needs of a family.
International standards in taxation take into account three imperatives, Mr. Besbes further detailed, mentioning the values of equity, legality, and efficiency, while noting that it is imperative to take into account yield and productivity. "The challenge and dilemma is to ensure that these foundations are present at the same time," he indicated.
"We have visibility of what we must do to achieve these three objectives with the development of an agenda and a roadmap for tax reform," affirmed the minister.
This visibility allows us to initiate provisions within the framework of the new finance law, allowing us to get closer to this ideal, he explained.
To achieve this, it is necessary to carry out a structural reform of the Tunisian tax system, Mr. Besbes specified.
"Our current system is structurally ill in terms of equity and legality, as well as in terms of yield, insofar as the tax base is not sufficiently broadened and some taxpayers escape it," he further explained.
As for the tourist tax, estimated at one euro, or two dinars per person per night, this provision, which will come into effect at the beginning of October 2013, will allow the mobilization of 50 million dinars. These resources will be distributed equitably between the national compensation fund and the competitiveness development fund. This measure will not have a major impact on the competitiveness of the Tunisian tourism product, which should not be based on "dumping prices at the expense of the taxpayer," Mr. Besbes estimated.
These different aspects, he added, must be integrated into the framework of a well-considered structural reform before being undertaken, mentioning the predisposition of experts from the World Bank, the IMF, and the OECD to contribute to the tax reform project in Tunisia.
The year 2013, Mr. Besbes indicated, will also be the year of the start of the countdown for the mobilization of funds in favor of the compensation fund, whose envelope has tripled since the revolution of January 14.
TAP
Espacemanager.com
Published on November 28, 2012.
Posted online on November 28, 2012.
According to Mr. Besbes, the State aims to create 100,000 new jobs for the year 2013, including 30,000 in the public sector and 70,000 in the private sector.
The provisions of the 2013 Finance Bill in favor of employment support the measures in place to encourage recruitment and vocational training.
The project provides, in particular, for the exemption of the end-of-service bonus from the vocational training tax and the contribution to FOPROLOS, as well as the generalization of VAT to all beneficiaries of vocational training.
Furthermore, the draft new finance law reaffirms the maintenance of the measures initiated in 2012 in favor of special employment programs, he said, citing the 21/21 fund, which mobilizes 520 million dinars, and special programs (50 million dinars).
"The 2013 finance bill project also includes cyclical provisions relating to the encouragement of the creation of Small and Medium-sized Enterprises (SMEs)" indicated Mr. Besbes.
This is "budgetary sacrifices that go in the direction of economic efficiency and improved employment," he explained, starting from the following principle: when the economy is freed up, we obtain more significant tax returns, he said. "Our objective is not to seek tax yield by overwhelming businesses but, on the contrary, by their liberation and prosperity."
The State has also chosen, according to Mr. Besbes, not to exert tax pressure on businesses by increasing VAT, knowing that one VAT point allows the collection of 150 million dinars.
Actions are also planned in favor of families since the exemption from income tax granted for the first three dependent children will be, in the finance bill project, 100 dinars for each child, no longer taking into account the number of dependent children.
It is also planned to increase the exemption from income tax for the head of the household from 150 to 250 dinars.
The minister acknowledges that efforts must be made to correct certain aspects related to equity and tax justice. Several provisions are currently under development, under discussion within the government, concerning the restructuring of the tax scale. "Reflection has begun because one of the sources of inequity comes from a poor distribution of the burden of income tax, particularly between low and high incomes. This malfunction deserves to be corrected," he further stated.
Corrections must also be made to the "weak personalization of the links between income and family expenses." Mr. Besbes notes that there is not a big difference in taxation between a single person and someone who supports the needs of a family.
International standards in taxation take into account three imperatives, Mr. Besbes further detailed, mentioning the values of equity, legality, and efficiency, while noting that it is imperative to take into account yield and productivity. "The challenge and dilemma is to ensure that these foundations are present at the same time," he indicated.
"We have visibility of what we must do to achieve these three objectives with the development of an agenda and a roadmap for tax reform," affirmed the minister.
This visibility allows us to initiate provisions within the framework of the new finance law, allowing us to get closer to this ideal, he explained.
To achieve this, it is necessary to carry out a structural reform of the Tunisian tax system, Mr. Besbes specified.
"Our current system is structurally ill in terms of equity and legality, as well as in terms of yield, insofar as the tax base is not sufficiently broadened and some taxpayers escape it," he further explained.
As for the tourist tax, estimated at one euro, or two dinars per person per night, this provision, which will come into effect at the beginning of October 2013, will allow the mobilization of 50 million dinars. These resources will be distributed equitably between the national compensation fund and the competitiveness development fund. This measure will not have a major impact on the competitiveness of the Tunisian tourism product, which should not be based on "dumping prices at the expense of the taxpayer," Mr. Besbes estimated.
These different aspects, he added, must be integrated into the framework of a well-considered structural reform before being undertaken, mentioning the predisposition of experts from the World Bank, the IMF, and the OECD to contribute to the tax reform project in Tunisia.
The year 2013, Mr. Besbes indicated, will also be the year of the start of the countdown for the mobilization of funds in favor of the compensation fund, whose envelope has tripled since the revolution of January 14.
TAP
Espacemanager.com
Published on November 28, 2012.
Posted online on November 28, 2012.
