The SDP has announced that it will submit to parliament proposed amendments to the tax law with a focus on reducing the tax burden on the tourism sector and raising competitiveness.
SDP Party chairman Davor Bernardić presented the proposed reforms to reporters at a press conference at the party headquarters in Zagreb on Tuesday.
"Our proposal is that the VAT rate for tourism sector accommodations be reduced from the current 13 percent to 5 percent and that VAT in the hospitality sector be reduced from the current 25 percent to 13 percent," Bernardić said.
So far no one from the parliamentary majority or government has commented on the proposal.
Meanwhile, Tourism Minister Gari Cappelli announced on Tuesday that government will raise the quota for work permits in the tourism sector, to resolve the shortage of workers during the peak season.
"A correction will be made at tomorrow's cabinet session. We'll increase it slightly. Tomorrow afternoon we'll define exactly by how much, but we're increasing it to exactly meet the demand," Minister Cappelli said.