Press Releases

3. 3. 2009 12:32

Government Approves Legislation as Part of the National Crisis Management Plan


Prague, March 2, 2009

Reduced social insurance rates and shortened period of write-off have been approved by the Government today. Coming as part of the implementation of the National Crisis Management Plan, both amendments are designed to alleviate the impact of the global economic recession on the Czech economy. Changes in the Insolvency Act will be discussed by the Government on Thursday.

“All the three amendments have been passed. What we have to discuss now is when we want to incorporate into the Insolvency Act the changes also concerning response to the striking glassmakers and these are, for instance, payments of wages,“ Premier Mirek Topolánek was quoted as commenting on today’s Government meeting.

Cuts in Social Insurance

With its approved measure the Government plans to help employees in all income groups to get proportionately net wages. All in all, physical entities will get as much as 18 billion CZK. “This particular measure is expected to bring 50,000 to 60,000 jobs,“ says Vice Premier and Labour and Social Affairs Minister Petr Neèas on the proposal just approved.

Accelerated Write-offs

The Government submits to the Parliament its three-fold acceleration of write-offs as another legislative instrument of the National Crisis Management Plan. “This is useful for all those planning to buy new technology, computers, cars, tractors etc. The measure offers advantageous terms for such businessmen, being connected with deferred tax returns for the self-employed and enterprises with up to five employees. I am confident that the Parliament is going to approve this proposal,“ added Finance Minister Miroslav Kalousek.

All the three proposals will be submitted by the Government to the House of Deputies as a package but in the Premier´s view voting on the individual laws will be separate.

More on the items approved and on the Government’s National Crisis Management at this address

Jana Bartošová, press spokesperson

of the Government of the Czech Republic

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