New tax hikes & New salary scale for public sector workers

Olive Green

Olive Green

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Parliament approved a series of tax hikes to finance the new salary scale for public sector workers Wednesday in a heated legislative session that was adjourned before the agenda was completed.

In the second day of a legislative session, held to discuss the 30-item agenda and chaired by Speaker Nabih Berri, lawmakers endorsed a series of proposed taxes.

These included an 11 percent value added tax, raised from the current 10 percent, and a 1.5 percent fee to be added to every appraised square meter of property.

MPs also increased taxes on corporate profits from 15 to 17 percent, in addition to a 7 percent tax increase on deposit interest for both depositors and banks.

The new tax hike law – endorsed to finance the salary scale, which was approved Tuesday – will also see a tax increase on imported alcoholic beverages.

A tax will also be levied on certain kinds of imported tobacco and hookah tobacco. As per the law’s Article 7, the fees would be raised as follows: an LL250 ($0.17) increase on the price of a pack of cigarettes, an LL250 increase on the price of a packet of hookah tobacco and a LL500 increase for cigars.

A fee of LL6,000 will be tacked onto every ton of cement produced.Parliament passes new tax hikes | News , Lebanon News | THE DAILY STAR

Another debate that led to certain amendments pertained to the article related to imposing fees on non-Lebanese entering the country by land.

The new law now imposes a fee of LL5,000 ($3.32), stipulated in Article 10.

However, the original article imposed the fee on all travelers leaving Lebanon by land, which some lawmakers opposed.

Kataeb Party MP Nadim Gemayel insisted that this tax needed to be imposed on those entering Lebanon rather than those leaving.

Hezbollah MP Nawwaf Musawi also asked lawmakers not to accept the proposal. “We would be creating a disaster for the residents of Tripoli, Akkar, Hermel and Baalbeck,” he said, adding that for many residents of these areas it is easier for them to travel to parts of Syria than to Beirut.Extra fees will also be imposed on travelers leaving Lebanon by air, except for those traveling in economy class, where the fee will remain at LL60,000, as opposed to being raised to LL75,000 after some MPs protested the increase.

The extra fee will, however, affect those traveling in business class, who will pay a tax of LL110,000, and in first class, where the fee will be LL150,000. In addition, travelers using private planes will have to pay LL400,000.
 
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  • Mighty Goat

    Mighty Goat

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    Orange Room Supporter
    Only when you pay taxes you may demand for social services. You cannot demand for social services and reject to pay taxes.
     
    The Jade

    The Jade

    Legendary Member
    Only when you pay taxes you may demand for social services. You cannot demand for social services and reject to pay taxes.
    The country has more than enough revenues to cover social services.
    It's the waste, fraud and theft that should be stopped.

    For example, the general manager of the railway corporation just got a salary hike....tell me when was the last time you rode a train in Lebanon????

    That's one of the thousands of examples we have in Lebanon about waste and theft.
    Stop that and we won't need any tax hike.
    People will now get 20% less of their buying power....how do you think this will affect the economy?
     
    R

    Randomiser

    New Member
    Only when you pay taxes you may demand for social services. You cannot demand for social services and reject to pay taxes.
    Lets have progressive tax system, let the rich who benefits from our financial system pay more taxes and redistribute the wealth. Oh wait, they won't raise taxes on themselves nor on their buddies.
     
    The Jade

    The Jade

    Legendary Member
    I can't believe that the most important thread in this forum barely has 6 posts when other more useless ones have tens of pages of pissing contests.....
    Our country is bleeding, it's being raped and stolen from by the ones in power, how can you still support them??????
     
    Impera

    Impera

    Active Member
    superduper703

    superduper703

    Well-Known Member
    I can't believe that the most important thread in this forum barely has 6 posts when other more useless ones have tens of pages of pissing contests.....
    Our country is bleeding, it's being raped and stolen from by the ones in power, how can you still support them??????
    When FPM looks bad, people hide. Let's criticize Bassilius the Great or, God Forbid, God Michel Aoun himself, and you'll see them come out of the woodwork like small ants.

    Disgusting.
     
    superduper703

    superduper703

    Well-Known Member
    Taxes on corporations have been raised to 17%. Goodbye new investments, and hello unemployment. Some schools have already raised their fee by as much as 27%. This is a social and economic disaster. No planning, no economic insights, no fat-trimming, nothing. Just keep piling on poor people, while Bassil, Berri, Jumblatt and company keep getting richer.

    Meantime, Lebanon has the 11th highest level of consumption of cigarettes in the world (Price of cigarettes around the World: Europe, Asia, America, Africa on Strikingly). Tax the hell out of it, raising the price of a pack to $5, $6 or more, and let the smokers pay up or quit. Can't go to a *****ng restaurant without smoke being blown in your face.
     
    WiseCookie

    WiseCookie

    Well-Known Member
    Taxes on corporations have been raised to 17%. Goodbye new investments, and hello unemployment. Some schools have already raised their fee by as much as 27%. This is a social and economic disaster. No planning, no economic insights, no fat-trimming, nothing. Just keep piling on poor people, while Bassil, Berri, Jumblatt and company keep getting richer.

    Meantime, Lebanon has the 11th highest level of consumption of cigarettes in the world (Price of cigarettes around the World: Europe, Asia, America, Africa on Strikingly). Tax the hell out of it, raising the price of a pack to $5, $6 or more, and let the smokers pay up or quit. Can't go to a *****ng restaurant without smoke being blown in your face.
    It is amazing isn't it? The lack of vision, and these band aids that the government applies thinking it will change anything. I don't think there needs to be any more proof provided that the Lebanese government does not serve the people, but it serves its own interests. It irks me that Lebanon is not the silicon valley of the Middle East. We have one of the most highly educated populations in the Middle East that travels elsewhere for opportunity. If these taxes were being raised to modernize the infrastructure, and allow for free competition among internet providers I swear I wouldn't be upset. But no, they're going to pay for trains that don't exist and their administrators.

    I agree with taxing cigarettes, and I have highly libertarian leanings. The cost to society generated by smoking cigarettes is a detriment to all.
     
    superduper703

    superduper703

    Well-Known Member
    It is amazing isn't it? The lack of vision, and these band aids that the government applies thinking it will change anything. I don't think there needs to be any more proof provided that the Lebanese government does not serve the people, but it serves its own interests. It irks me that Lebanon is not the silicon valley of the Middle East. We have one of the most highly educated populations in the Middle East that travels elsewhere for opportunity. If these taxes were being raised to modernize the infrastructure, and allow for free competition among internet providers I swear I wouldn't be upset. But no, they're going to pay for trains that don't exist and their administrators.

    I agree with taxing cigarettes, and I have highly libertarian leanings. The cost to society generated by smoking cigarettes is a detriment to all.
    It's sad really. Lebanon has one of the best well-rounded education systems (at the school level) in the world. The Lebanese are street-smart and book-smart, yet can't seem to apply their smarts to their own country. Take them out to another country, and they adapt and shine. Their problem? Even the most accomplished follow their zaïm blindly, eschewing every shred of common sense and critical thinking. Then you can imagine how the least educated would behave.

    Totally agree on smoking. It's a disease: per capita, we consume 2,138 cigarettes per year. If you take into account arguileh consumption, we're probably the #1 tobacco-smoking country in the world. It's as if we don't have enough fatalities from other causes, like being 59th in car accident deaths), gun violence, etc.
     
    Indie

    Indie

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    Orange Room Supporter
    Is there something I'm missing? Based on the OP, it seems the taxes will not touch the necessities of regular people.

    Property and cement taxes will impact property developers and real estate investors who are making it impossible for normal Lebanese to afford homes. They are not even building for regular Lebanese but for the wealthy and for the foreigners.

    There's also nothing wrong in taxing corporations rather than individuals.

    Tobacco and alcohol are not necessities. On the contrary, they cause health issues, and the price of cigarettes should go even higher to motivate people to stop smoking.

    And those who can afford business or first class plane tickets can afford the tax on their tickets.

    Of course, wasteful spending and corruption should also be tackle; but, what is wrong with a 1 or 2 % rise in taxes for the privileged class?
     
    NiceV

    NiceV

    Well-Known Member
    Is there something I'm missing? Based on the OP, it seems the taxes will not touch the necessities of regular people.

    Property and cement taxes will impact property developers and real estate investors who are making it impossible for normal Lebanese to afford homes. They are not even building for regular Lebanese but for the wealthy and for the foreigners.

    There's also nothing wrong in taxing corporations rather than individuals.

    Tobacco and alcohol are not necessities. On the contrary, they cause health issues, and the price of cigarettes should go even higher to motivate people to stop smoking.

    And those who can afford business or first class plane tickets can afford the tax on their tickets.

    Of course, wasteful spending and corruption should also be tackle; but, what is wrong with a 1 or 2 % rise in taxes for the privileged class?
    Well said in the West taxes are three times higher
     
    Walidos

    Walidos

    Legendary Member
    Orange Room Supporter
    Is there something I'm missing? Based on the OP, it seems the taxes will not touch the necessities of regular people.

    Property and cement taxes will impact property developers and real estate investors who are making it impossible for normal Lebanese to afford homes. They are not even building for regular Lebanese but for the wealthy and for the foreigners.

    There's also nothing wrong in taxing corporations rather than individuals.

    Tobacco and alcohol are not necessities. On the contrary, they cause health issues, and the price of cigarettes should go even higher to motivate people to stop smoking.

    And those who can afford business or first class plane tickets can afford the tax on their tickets.

    Of course, wasteful spending and corruption should also be tackle; but, what is wrong with a 1 or 2 % rise in taxes for the privileged class?
    @Indie any tax hike be it on individuals or entities will result in inflation, i.e the consumer ends up paying for it. Taxes in lebanon are not high, but neither is the income...
     
    R

    Randomiser

    New Member


    Chicken shits!
    Any Vote in the Parliament should be public, every parliamentary session should be televised.

    Is there something I'm missing? Based on the OP, it seems the taxes will not touch the necessities of regular people.

    Property and cement taxes will impact property developers and real estate investors who are making it impossible for normal Lebanese to afford homes. They are not even building for regular Lebanese but for the wealthy and for the foreigners.

    There's also nothing wrong in taxing corporations rather than individuals.

    Tobacco and alcohol are not necessities. On the contrary, they cause health issues, and the price of cigarettes should go even higher to motivate people to stop smoking.

    And those who can afford business or first class plane tickets can afford the tax on their tickets.

    Of course, wasteful spending and corruption should also be tackle; but, what is wrong with a 1 or 2 % rise in taxes for the privileged class?
    Yeah the TVA increase will only touch corporations...
    Can you tell me how the privileged class got effected? The only reason we can't have a decent wages or even a modern tax system are the bankers and money whales. Most taxes are on stuff used by poor or whats remaining of the middle class. The richer will become richer and the poor will become poorer.

    Well said in the West taxes are three times higher
    In the West they have an actual functioning government that provides much better services to their citizens in quantity and quality, not a mazra3a like here.

    I'll be ok with high taxes if the government spend them in their right place and everyone pays their fair share of the taxes.
     
    JB81

    JB81

    Legendary Member
    The country has more than enough revenues to cover social services.
    It's the waste, fraud and theft that should be stopped.

    For example, the general manager of the railway corporation just got a salary hike....tell me when was the last time you rode a train in Lebanon????

    That's one of the thousands of examples we have in Lebanon about waste and theft.
    Stop that and we won't need any tax hike.
    People will now get 20% less of their buying power....how do you think this will affect the economy?
    Most of the tax is on the rich, corporate greed, and banks!
     
    Indie

    Indie

    Legendary Member
    Orange Room Supporter
    @Indie any tax hike be it on individuals or entities will result in inflation, i.e the consumer ends up paying for it.
    How is the government supposed to finance public services?

    This is the consequence of greedy capitalism + globalization, which removes all government control from the economic activity in a given country.

    We are living under the blackmail of corporations who threaten to move abroad as soon as taxes are mentioned, but who shamelessly get bailed out by the same governments, when they go under due to their own mismanagement.

    Those who run these corporations need to be held accountable as much, if not more, than politicians. But, even this is a laughable statement, since they're basically the same people.
     
    superduper703

    superduper703

    Well-Known Member
    Well said in the West taxes are three times higher
    The Federal corporate tax in Canada is 10.5% + Provincial tax rate (which varies from 0% to 4.5%), i.e. depending on where the company is domiciled, the tax rate can be as low as 10.5% and as high as 15%.

    Lebanon? 17%. And that's in a struggling economy that needs incentives, not new shackles.

    Dumb and dumber.
     
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