First Reading of the Bill to Amend the Income Tax Act (117 SE)
Session: 15th Riigikogu, 3rd sitting, plenary session
Date: 2024-01-24 18:15
Participating Politicians:
Total Speeches: 6
Membership: 15
Agenda Duration: 4m
AI Summaries: 6/6 Speeches (100.0%)
Analysis: Structured Analysis
Politicians Speaking Time
Politicians
Analysis
Summary
The fourteenth item on the agenda concerned the first reading of Draft Bill 117 on the amendment of the Income Tax Act, initiated by Riigikogu members Martin Helme, Kert Kingo, and Helle-Moonika Helme. The primary objective of the draft bill was to increase the maximum limit for tax-exempt compensation paid to an employee for using their personal vehicle for work-related travel. Helle-Moonika Helme, representing the initiators, stressed that the current limit has remained unchanged for years, and considering the rapid rise in fuel prices and general inflation over the past few years, it is insufficient. The current situation forces employees to cover work-related expenses out of their salary, which contradicts the general principles of labor and tax law.
Annely Akkermann, Chair of the lead committee, the Finance Committee, announced that the committee had discussed the draft bill alongside ten similar proposals. Although the procedural decisions regarding sending the bill to the floor were made by consensus, the Government of the Republic did not support the bill. The Finance Committee proposed that the Riigikogu reject the bill at the first reading, a proposal which was subsequently confirmed by the vote. The draft bill was rejected with 36 votes in favor and 10 against, and was therefore dropped from the proceedings.
Decisions Made 2
The Finance Committee decided unanimously to send the draft bill to the Riigikogu plenary session for the first reading.
Bill 117 was rejected during the first reading (36 in favor, 10 against) and was subsequently dropped from the proceedings.
Most Active Speaker
The most active politician was Helle-Moonika Helme, who spoke both as the representative of the bill’s initiators and as the rapporteur. She thoroughly explained the necessity of the draft legislation, emphasizing that raising the tax-free threshold is vital to offset the impact of inflation and rising fuel prices on workers' incomes and to prevent the violation of labor law principles.
Aseesimees Jüri Ratas
AI Summary
The Riigikogu opens the fourteenth item on the agenda and begins the first reading of Bill 117, inviting Riigikogu member Helle-Moonika Helme to serve as the rapporteur.
Helle-Moonika Helme
Profiling Eesti Konservatiivse Rahvaerakonna fraktsioonAI Summary
Helle-Moonika Helme announced that the draft amendment to the Income Tax Act proposes increasing the tax-exempt limit for the compensation paid for an employee's personal vehicle. This measure aims to account for the recent years' growth in fuel prices and inflation, thereby mitigating inequality, because otherwise employees would be forced to cover work-related travel expenses themselves, which fundamentally contradicts the principles of labor and tax law. Support for the bill is requested.
Aseesimees Jüri Ratas
AI Summary
Jüri Ratas thanked the rapporteur, announced that there were no questions, and invited Annely Akkermann, the Chair of the Finance Committee, to the podium to serve as the next rapporteur.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann said that the Finance Committee discussed several draft bills concerning changes to the compensation rate for the use of a private vehicle, and it was decided to reject both this bill and the subsequent ten bills. The vote for the rejection was 6–5, and the government does not support these draft bills.
Aseesimees Jüri Ratas
AI Summary
Ratas called for a vote and announced that the leading committee's proposal regarding Draft Bill 117 must be rejected during the first reading.
Aseesimees Jüri Ratas
AI Summary
Deputy Speaker Jüri Ratas announced that Bill 117 was rejected in the first reading and is removed from the proceedings. The voting result was 36 in favor and 10 against, and the fourteenth item on the agenda has now been addressed.