Montenegro to Impose Social Solidarity Tax on Company Profits

Montenegro is set to impose a social solidarity tax on company profits to redistribute wealth and reduce inequality. The tax will be levied at a rate of 2% on company profits exceeding EUR 3 million and is expected to raise around EUR 15 million annually. The government has said that the funds will be used to support social welfare programs and reduce poverty. The move has been met with mixed reactions, with some business groups criticizing the tax as a burden on companies, while others have welcomed it as a way to address social inequality. Supporters of the tax argue that it is a necessary measure to promote social justice and ensure that companies contribute to the well-being of society. The tax is set to take effect in 2024, and the government has said it will review the tax annually to ensure it achieves its intended goals. Read more here.
Source: BIRN