That’s how much lower taxes the finance minister gets – compared to you

earthpressnews
Thats how much lower taxes the finance minister gets

On September 19, the government presents its autumn budget with a reform space of SEK 60 billion.

Here are some of the proposals that have been presented so far, according to TT:

  • A new employment tax deduction for SEK 11 billion.
  • Reduced tax for pensioners for SEK 2.5 billion.
  • Abandoned phasing out of the employment tax deduction for SEK 4.7 billion.
  • Raised cut-off point for state income tax for SEK 6 billion (taken outside the reform area).
  • Reduced tax on ISK accounts for SEK 4.4 billion.
  • Extended temporary extra housing allowance for SEK 412 million.
  • Reduced tax on fuel for SEK 3.2 billion (for half of the year).
  • Reduced flight tax for SEK 870 million.
  • Reduced tax on mobile homes for SEK 90 million.

    • The main focus is to lower taxes to give Swedish households more money to move around with. But how much reduced tax you get depends on how much money you earn.

    Photo: Henrik Montgomery/TT

    READ MORE: That’s how little pensioners get in the new budget – the biggest losers

    Reduced tax for high income earners

    Last Friday, it was announced that the government wants to lower the tax for high income earners.

    The proposal benefits Swedes who earn 778,000 and up to just over two million kroner per year. It also means that the marginal tax is reduced from 55 to 52 percent by abolishing the phasing out of the employment tax deduction.

    The investment costs the treasury 4.7 billion and, according to the government’s hopes, is self-financed because it is based on people working more, something News24 previously reported on.

    READ MORE: Reduced tax for high earners

    Criticism of the proposal: “Great effect”

    That the phasing out of the employment tax deduction is abolished meets with criticism from the LO economist Peter Gerlach.

    – It is only for people who earn more than SEK 65,000 a month. And it will have quite a big effect on high incomes, he tells Expressen.

    DON’T MISS: Reduced tax for pensioners and wage earners in 2025

    That’s how much lower taxes the finance minister gets

    One of the highly paid people affected by the announcement is the Minister of Finance Elisabeth Svantesson.

    According to a calculation by the LO economists that Expressen has seen, Svantesson will receive SEK 3,000 in reduced taxes every month.

    Comparatively, a household where one person earns 35,000 a month and another 42,000 together will receive 640 kroner in reduced tax every month, which is 7,860 kroner per year.

    Elisabeth Svantesson. Photo: Claudio Bresciani/TT Big differences in the tax cut

    The proposal has raised questions from Peter Gerlach, which hints at a distribution policy problem.

    – If you take the Minister of Finance, we calculate that she will receive approximately SEK 3,000 a month in reduced taxes, he explains to the newspaper and adds:

    – Whereas a LO woman, whose monthly salary is typically somewhere around 30,000, gets 150 kroner in tax reduction.

    READ MORE: 400,000 Swedes risk a SEK 12,000 more expensive bill

    nh2-general