STRICT FINANCIAL DISCIPLINE AND LIMITATION OF EXPENDITURES OF THE MUNICIPAL BUDGET
Strict financial discipline and limitation of expenses to the secondary authorities were recommended by the mayor of the municipality Mr Ivo Dimov, in order to control the deficit that is emerging in the budget. At a press conference today, the mayor and the head of the "Revenues" Department, Mr Rosen Kuzev, explained the situation with the municipal budget and the predicament in which the municipalities find themselves due to non-working state bodies.
"Temporary interest-free loans have been given out for the projects, and their return depends on the governing bodies, which are not working well at the moment. Financial corrections are imposed on us, which reach absurdities," Dimov did not hide his indignation.
"I have been mayor since 2011 and the rates of fees and taxes are almost unchanged. We have raised the bar high and everything we try to do is about funding. It's the least we can do after nearly 13 years of holding down tax rates. The minimum wage in 2011 was BGN 240, and in 2024 is BGN 933, from next year it is expected to be over BGN 1000-1077. The increase only in the wage fund is multiple. Inflation since 2011 until 2024 is 50% and the consumer basket is terrible. What I could propose to the City Council at the December session is to change the real estate tax from 2 to 3 per mille and the acquisition fee, which is currently 2.5, to become 3 per mille. This is the only thing we will update this year, keeping the municipal waste fee rate as it has been in the years since 2011. According to the new methodology, the state foresees an increase in solid waste. We have done our calculations. We will manage without raising this tax burden. With funding and internal exercises, we will be able to maintain the rate," said the mayor of the municipality.
Dimov recalled that thanks to the reaction of the municipalities and the National Association, the household waste fee was postponed until 2026. The report with a proposal to update two taxes has been uploaded to the municipality's website for discussion.
The only increases that are foreseen are for real estate tax and acquisition tax. There will be no increase in the household waste fee, as well as the motor vehicle tax, no increase in the patent tax, no increase in the tourist tax, and no increase in the taxi tax.
Additional details were given by the head of the Revenue Department, Rosen Kuzev.
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