According to the calculation by the Government, at least 195 BAM of fees for hot meal and transportation are paid to the workers every month, in addition to the average net wage that amounts to 846 BAM in the FBiH.
However, this amount which is not taxable reaches the amount of 345 BAM with some employers, considering the fact that they pay fees for separate living, overtime work, regress and some other fees. Advisor to the Federal Prime Minister Goran Miraščić, who is directly involved in the reaching of this measure arising from the Reform Agenda, explains how both the system and workers will benefit from this measure:
“Many employers use holes in the law to pay the minimum wage and paying the difference through the mentioned fees. This practice only exists in the FBiH. Our basic intention is to make these fees, amounting to at least 195 BAM, a part of tax base, thus expanding it. Consequently, the average net wage in FBiH will amount to 1.041 BAM instead of 846 BAM,” Miraščić said.
Miraščić further explained that in this way the burden on net wages, which currently amounts to 63.43 percent in FBiH, will be reduced to below 51 percent. This makes BiH more attractive to investors and more equal with the surroundings. Moreover, he claims that the fees other than salaries in FBiH are currently legally creating space for manipulation.
Economy expert Zlatko Hurtić said that the relieving of economy is a necessary task that must be implemented “given that the current tax burden is high and represents an obstacle for investing, growth of employment, and a basic cause of the growing gray economy and hindered functioning of the pension system”.
(Source: novovrijeme.ba)