PROPOSED TAX CHANGES
Reduced taxation for wage earners
A person making 3,305 euros a month will pay 235 euros less in annual taxes.
Reduced taxation for pensioners
A person receiving 1,600 euros a month in earnings-related pension will pay 120 euros less in annual taxes.
Domestic help credit will be raised five percent
For 1,000 euro’s worth of work, the increase from 45 to 50 percent will bring a 50-euro benefit.
Deductibility of interest paid on mortgage will be lowered by ten percent
The deductable proportion will fall from 55 to 45 percent, meaning that a 100,000-euro loan at 1.5 percent interest would qualify for 45 euros less.
Tobacco tax will rise
The price of a pack of cigarettes will rise from 6 euros now to 6.50 euros next year.
Tax on sweets eliminated
A chocolate bar costing 2.20 now will only cost 2 euros in 2017.
Car taxation will be eased
A car that cost 32,000 euros with average emissions will be 210 euros cheaper next year.
Motor vehicle tax will be increased
The motor vehicle tax on passenger cars will go up by approximately 36.50 euros per year.
Petrol tax will go up
A litre of 95 E10 petrol will become 2.5 cents more expensive.
Generational changes in businesses and farms promoted with reduced inheritance and gift taxation
Tax on a 100,000-euro inheritance will go down by 800 euros, while a tax on a 20,000-euro gift will go down by 170 euros.
New entrepreneur deduction of five percent as business incentive
The change will bring a 50-150-euro benefit to most small business owners and a 1,700-2,900 benefit to larger businesses.
PROPOSED APPROPRIATION CHANGES
Across-the-board cut to virtually all benefits
A cut of 0.85 percent will be made to every 100 euros received in benefits.
Cut in duration of unemployment security
Earning-related unemployment security will drop from 500 to 400 days. For people with fewer than three years of experience on the job, the period will fall from 400 to 300 days.
Student financial aid will be cut
Payments of study aid to higher education students will fall by a maximum of 87 euros monthly.
Study loan guarantee from the central government increased
Maximum loan amounts will climb from 400 to 650 euros per month
Higher education students will be transferred to the general housing allowance scheme
Housing allowances will be a maximum of 201 euros monthly with a partner’s income having no affect on the sum granted. University students in Helsinki on the other hand will receive a maximum of 400 euros per month, but their partner’s income will be taken into consideration in judging the sum of the allowance.
Early education fees for low-income families will go down
The payment for a single parent earning 2,200 euros monthly will fall by 59 euros a month to just 33 euros monthly.
Cuts to drug reimbursements
State reimbursement for medicine used to treat Type II diabetes, for example, will fall from 100 percent of the price to 65 percent.
Remuneration for family care to increase
The minimum wage of home carers will increase by at least 775 euros monthly, an 80 percent increase.
Family caregivers granted more free days
People caring for a disabled family member will be entitled to at least two free days per month. Those that supply 24-hour care will receive three free days per month.