PAS Survey: Up to Percent of Entrepreneurs Reject Transaction Tax

Bratislava, May 5 (TASR) - As many as 77 percent of entrepreneurs described the transaction tax as a flawed decision, while a further 20 percent viewed it rather negatively, and two-thirds said it would be reflected in the prices of goods and services, according to an April survey by the Slovak Business Alliance (PAS) of 101 respondents across Slovakia, 92 percent of whom represented companies and 8 percent freelancers. The introduction of the tax has direct consequences for the end consumer. As many as 22 percent of entrepreneurs said they had already raised prices for their customers, while 47 percent plan to do so. At the same time, 8 percent of respondents said they hadn't increased prices for cash payments, and 23 percent don't intend to raise prices at all. According to the survey, entrepreneurs are also changing their behaviour. Around 77 percent said they're already reducing the number of bank transactions, and 31 percent prefer cash payments. Nearly a third of respondents (32%) are considering relocating some or all of their business abroad. "This data shows that tax not only increases costs but has a real impact on companies," said PAS executive director Martin Lidaj. When asked what solutions businesses would prefer instead of transaction tax, 88 respondents said they supported reducing government spending, 39 suggested increasing excise duties and 25 were in favour of introducing a luxury tax. PAS emphasised that the transaction tax is a measure that significantly worsens the competitiveness of Slovak companies. "Entrepreneurs are already under great pressure, and additional tax burdens are considered both unfair and inefficient. The results of the survey are clear evidence that the business environment needs stability, predictability, and systemic savings in public finances, not new taxes," said Lidaj. lin