Bashir Al-Haddad: Tax deductions violate the budget law
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On Thursday, Deputy Speaker of Parliament, Dr. Bashir Al-Haddad, considered tax deductions a violation of the budget law, and Parliament will have a position on it.
Al-Haddad said in an interview with the newspaper "Al-Sabah" and followed by "Economy News", that "the House of Representatives voted to cancel the paragraph of tax deductions from employees, because they will be greatly affected, once by tax deduction, and another as a result of changing the exchange rate of the dollar, or as a result of high prices in the markets."
He added that "the Ministry of Finance applies paragraph C of Article 34 in violation of the intent of the legislator," noting that "the proposal of the Minister of Finance to the Council of Ministers recommends the implementation of income tax for employees, canceling Cabinet Resolution No. 156 on 6/7/2016 and returning to direct tax deductions from salaries Employees in accordance with Financial Instructions No. 1 of 2007.
Al-Haddad promised that "a clear legal violation of the articles and provisions of the Federal Budget Law for 2021, which the House of Representatives voted on on 3/31/2021, and the Council will have a position on the application of these deductions."
In another matter, he stated that "the delegation of the Kurdistan Regional Government recently visited Baghdad to discuss the implementation of the agreement concluded between the federal and regional governments, and to agree on the mechanism for implementing Article 11 of the federal budget for 2021, and it is expected that in the next few days, the two parties will reach a common formula for implementing the commitments." exchange between them in the field of oil, border crossings, and employee salaries.”
The Deputy Speaker of Parliament confirmed that "the delegation of the region has repeatedly stressed the readiness of the regional government to fulfill all its obligations imposed by the budget law, and to submit all the data requested by the Federal Ministries of Finance and Oil, and full coordination between the federal and regional financial oversight bureaus," noting that "the meetings are continuing and all outstanding files are The two parties are on the table for dialogue, and there is complete readiness on both sides to proceed with resolving all outstanding issues in accordance with the constitution and applicable laws.
He stressed that "the region has expressed its willingness from the beginning to fulfill all its obligations, provided that they are constitutional," noting that "the last agreement between the two parties was entered into a legal framework within the budget law, as the agreement stipulates that the region will be handed over to establish no less than 250 1,000 barrels of oil per day to the company (SOMO), but the mechanism for delivering these values is the subject of the current dialogue between the two parties."
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