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At its session on October 30, the RC Government adopted a proposal for personal income tax changes, which had been announced for some time. In the latest Press Release, entitled The impact of changes in the Personal Income Tax Act on the average tax rate, the IPF's researchers Ivica Urban and Slavko Bezeredi analyse changes in the amount of the basic personal allowance and the size of tax brackets.
Anto Bajo and Marko Primorac in the Press release named Changes of methodological coverage of public debt and budget deficit in Croatia analyze the differences in statistical coverage of public debt and budget deficit due to the beginning of the implementation of the EUROSTAT methodology. The report on these differences was published on October 20, 2014 by the Croatian Bureau of Statistics.
In the Newsletter entitled Implementation of a cash accounting scheme for VAT: EU experience, Danijela Kuliš provides an overview of implementation in the EU countries which shows that this manner of calculating VAT has its advantages but also flaws. Those findings may be useful in creating the future framework of Croatian VAT Act.
As an EU Member State, Croatia is obliged to implement the Europe 2020 strategy. Moreover, it has recently decided to join the regional strategy SEE 2020, under which it has defined eleven headline targets, as ambitious as the targets set by other participating countries. As a participant in both EU strategic initiatives, Croatia has set itself sixteen headline targets and a number of reform measures and development priorities until 2020. While welcoming these processes, Croatia, regretfully, still lacks a uniform national development strategy. In the absence of an umbrella strategy document, three documents are currently in force, which, together with several economically relevant sectoral strategies, constitute the backbone of the next strategy cycle until 2020. You can read more on this topic in the Newsletter by Anto Bajo and Saša Ljepović Formulation of strategic development priorities of the Republic of Croatia.