ENEWS: Czech Parliament Rejects New Taxes On Gas, Cigarettes-CTK

[Robert Weissman <rob@essential.org>]

Czech Parliament Rejects New Taxes On Gas, Cigarettes-CTK
by Dow Jones Newswires
Date: Thursday, 7/8/99

PRAGUE -- The Czech Parliament overwhelmingly voted Thursday to reject
higher taxes on gasoline and cigarettes from the beginning of 2000,
according to a report from Czech news agency CTK.

The measure failed 114-52, with opposition coming from across the 200-seat
parliament, including some members of the governing Czech Social
Democratic Party (CSSD).

The Parliament previously approved higher consumption taxes which went
into effect July 1, but the latest measure was widely expected to be
rejected because it was seen as placing too great a tax burden on
citizens.

The higher taxes, if enacted, would have raised about 4 billion koruna
($1=CZK35.357) in revenue for the 2000 state budget.

The finance ministry had argued the higher taxes were necessary not only
to rebalance various consumption taxes but also prepare the country for
eventual membership in the European Union.


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