This unique and radical reform based on fiscal neutrality introduces unified flat tax rate of 19% for VAT and rise of other indirect taxes on the one hand and introduces the same, decreased, direct tax rate of 19% for individual income tax as well as corporate tax on the other hand. This reform will change the situation of both companies and households dramatically.
It also counts with gradual delegation of minor taxes and fees to the lower level, to communities, which will collect these to relocate resources for projects developing local infrastructure and solution of the ecology related problems. BIS Review 46/2003  1  Pension reform introduces three-pillar system.