A petition for the introduction of a progressive income tax has been launched on the public initiative portal Manabalss.lv.
The initiator is Alexander Lebedev. He notes that in Latvia there is a single income tax rate regardless of income level, which exacerbates inequality, reduces public trust in the tax system, and limits the state's ability to finance social programs, healthcare, and infrastructure.
Lebedev proposes to introduce a progressive scale:
— for low incomes — 20%,
— for middle incomes — 25-30%,
— for high incomes — 35%.
In his opinion, this will make society fairer, strengthen the budget, and reduce social inequality. Additionally, benefits could be introduced for families with children and low-income individuals to protect those with low incomes.
The initiator believes that a progressive system will ensure a fairer distribution of the tax burden: high-income individuals will pay more, while low-income individuals will pay less. This will stabilize budget revenues and improve funding for healthcare, infrastructure, and social programs.
Moreover, according to Lebedev, such a reform will increase public trust in government, reduce income disparity, and stimulate economic activity, as lower rates for low incomes will increase purchasing power. Overall, he believes that Latvia will become fairer, more cohesive, and economically sustainable.
In three weeks since the initiative began, it has been supported by 13 people.
