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Ministry of Finance: The proposed tax deduction does not include the lower classes

Baghdad-ALSHARQIYA  April 16: The Iraqi Ministry of Finance issued a clarification regarding its Minister Ali Abdul Amir Allawi's proposal for tax deduction from employees' salaries and said that it came in accordance with the 2021 Budget Law approved by Parliament
The Ministry of Finance said in a statement that the book bearing the signature of Minister Ali Abdul Amir Allawi regarding tax withholding came in implementation of the provisions of Article 34, Paragraph C of the Federal Budget Law, which includes the cancellation of the House of Representatives of all customs and tax exemptions and exceptions granted by the Cabinet decision unless stipulated in the laws in force.

The Ministry of Finance statement affirmed that it applies the law in paying tax on all income, including the nominal salary and allocations, and the exemption obtained from the Council of Ministers was exceptional .. The Ministry indicated that the proposed tax deduction does not include the lower classes, and the Council of Ministers has the power to cancel it.

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