Croatia's Constitutional Court says crisis tax is legal
18/11/2009
ZAGREB, Croatia -- The Constitutional Court rejected on Tuesday (November 17th) appeals questioning the constitutionality of the special tax on wages, pensions and other income that was introduced in August. The court ruled the new tax is not discriminatory and thus does not violate the constitution. About 80,000 citizens, including President Stipe Mesic, asked the court to assess the so-called crisis tax. The vote was 11 to 2. The judges did however recommend that the cabinet consider abolishing the tax ahead of its planned lifting, a year from now. Under the special tax, monthly net incomes ranging from about 409 to 819 euros are taxed at a rate of 2%; the tax rate on higher incomes is 4%. (Vjesnik, HINA, Jutarnji List - 17/11/09)