The Finnish Ministry of Finance has completed its proposal on government spending in 2022 before the negotiations between the coalition parties package.
The final version is due to be agreed at the end of September, and several rounds of negotiations need to be concluded before then.
The ministry’s proposal, released on Friday, includes increases in tobacco taxes, more tax cuts on household work, lower diesel discounts, additional subsidies for peat producers and more money for education.
If the proposal goes through tax deductions for household expenses, which could be cleaning, childcare or other work at home, it will rise from € 2,250 to € 3,500. 60 percent of the cost can be deducted from 40 percent.
The purpose of the reduction is to encourage companies in the service sector and to encourage users of these services to request a receipt and to ensure that taxes are paid on these transactions.
The story continues after the graphics
Minister of Economic Affairs Annika Saarikon The (Cen) proposal includes a family leave reform that will take effect on August 1, 2022, which will increase spending on fathers ’paternity leave so that fathers can stay home with their children.
In addition, around € 65 million has been set aside for the extension of compulsory education and the decision to provide secondary education free of charge.
There are no income tax increases in the ministry’s proposal, as the deficit is about 6.7 billion euros. According to the ministry, economic growth is expected to be 1-1.5 percent in 2022.
Negotiations between the archipelago and individual ministers will now follow as the government overturns the details, followed by wider discussions between the government’s parties and a final budget at the end of September.
The Greens and the Left Alliance have called for further action to combat climate change, and the center of the archipelago is likely to oppose some of their requests.
Source: The Nordic Page