The discussion about the so-called basic pension has been relevant for several years, but a concrete decision has not yet been made. In the TV24 program “On the Line”, Andris Bērziņš, chairman of the Social and Labor Affairs Commission of the Saeima, explains that there will be no decision this year, but the ministry is working on how much the basic pension could be paid out.
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He believes that the issue of basic pensions is very topical and important.
Bērziņš adds that the pension increase could happen in the fall due to inflation.
He also says that a citizens’ initiative has been submitted to the Saeima with the demand to cancel the taxation of pensions with the citizens’ income tax.
“These calculations have been submitted to the budget committee, but at the same time, together with the Ministry of Welfare, we will try to see how much it would cost,” he explains.
The amount mentioned is approximately between 120 million and 160 million euros. “It is quite a large amount of money,” the deputy admits.
Bērziņš reveals that, for example, in the negotiations with the Federation of Latvian Pensioners, it was said that the non-taxable minimum should be increased.
“It would happen gradually, so there would not be such rapid changes as in the case of not applying income tax to pensions,” the politician explains.
According to him, this solution would have more opportunities. However, the question is whether the state budget will be able to bear it financially.
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Tags: pensions increased autumn Member Saeima planned calculation pensions
