Will there be a new tax? 0 7

The National Alliance proposes to introduce a tax on economic security, "to significantly reduce Latvia's economic dependence on Russia and at the same time provide additional funding for the country's security.

The National Alliance notes in its statement that, "despite Russia's full-scale war in Ukraine, goods of Russian origin continue to enter Latvia, either directly or through intermediary countries, thereby indirectly replenishing the budget of the aggressor state. This situation is unacceptable both from a security perspective and from a moral standpoint."

"There are many worthy enterprises in Latvia that have ceased their operations in Russia, giving up large profits due to their state convictions. These entrepreneurs are now facing unfair competition compared to those who continue to cooperate with the aggressor country. The new law aims to put an end to this.

This will be a test for officials to see whether the words of solidarity with Ukraine and the severing of ties with Russia are reflected in actions or if it is just rhetoric.

... As long as Russia continues the war and threatens European security, Latvia should not be a country that supports the military economy of the aggressor through its consumption," emphasizes Arturs Butāns, a member of the Saeima from the National Alliance.

The tax on economic security proposed by the National Alliance includes a higher tax rate of 30% on goods originating from high-risk countries, primarily Russia, or those that enter Latvia through risky supply chains. The tax would apply to several important groups of goods, including food raw materials, mineral products, animal feed, metal products, chemicals, and textiles.

To introduce the military tax, the National Alliance has developed a new law — the Law on the Tax on Economic Security — as well as corresponding amendments to the laws "On Corporate Income Tax" and "On Taxes and Duties."