Aligning with its Role as a Guarantor of Social Equity, the New Finance Bill Emphasizes Social Aspects
The new finance bill is focused on social aspects, with a dual primary objective: to improve household purchasing power and combat the high cost of living, ensuring a better realization of citizens' socio-economic rights. To consecrate fiscal justice, one of the major pillars of this new finance bill, and to strengthen national solidarity efforts necessary for financing the state budget, the government has introduced targeted tax measures, including the expansion of the wealth tax (ISF) base and the adoption of progressive taxation on wealth.
Key Provisions of the New Wealth Tax
The tax bracket for this new tax is set as follows:
- Net fortunes with a value between 3 million and 5 million dinars will be taxed at 0.5% of their value.
- Fortunes with a value exceeding 5 million dinars will be taxed at 1% of their value. This comprehensive wealth tax covers all types of assets owned by taxpayers, including:
- Real estate and movable property of all kinds
- Funds and securities However, the finance bill provides for exceptions, including:
- Primary residences and their contents
- Real estate used for professional purposes
- Operating business funds
- Non-utility vehicles with a fiscal power of 12 horsepower (12 CV) or less
Declaration and Payment Terms
It is worth noting that the declaration related to the wealth tax must be filed no later than the end of June of each year. This measure aims to ensure a more equitable distribution of wealth and to promote social justice, while also generating revenue for the state budget to finance public services and infrastructure projects.
