“Speaking about other taxes, the president had expressed his position. This may be not only the corporate income tax, we may also speak about the personal income tax. Yet the first thing stressed by the president is the discussion on progressivity. It is fair to speak about progressivity, which there is very little of in our tax system currently,” Jansonas told the radio station Žinių radijas on Tuesday.
According to the president’s chief adviser on communication, it would be fair if people who earn higher income and businesses contributed more to defence funding.
“We should realise that after all we are defending the state. Those people have more to lose in this country. This is an investment in security,” stated Jansonas.
As reported, last week Prime Minister Ingrida Šimonytė held the third meeting between politicians and business representatives regarding sustainable sources for defence funding. She said a special fund might be created to accumulate funds for additional defence spending. One of the possibilities is a raise of the corporate income tax and VAT by 1 percentage point.
Lithuania’s defence spending stands at 2.75% of GDP in 2024, but it is sought to increase the figure to at least 3% of GDP in coming years.