Iraqi News Friday AM 2-5-21

Iraqi News Friday AM 2-5-21

TLM724 Administrator BondLady’s Corner

Economist: Deleting zeros from the Iraqi dinar leads to the collapse of the Iraqi economy

Friday 05, February 2021 15:45 | Economical Views: 191  Baquba ( NINA ) Economic specialist Jamal Shaker ruled out dropping zeros from the Iraqi currency because it leads to the collapse of the country's economy and the Iraqi dinar.

He told the correspondent of the Iraqi National News Agency ( NINA ) today that removing the zeros from the Iraqi currency needs a strong economy and a hard currency in order to be able to re-evaluate the price of the dinar, and this is unlikely in light of a collapsed economy, but the only treatment to gradually strengthen the exchange rate of the Iraqi dinar is to develop an economic plan and exploit Natural resources, activation of investment, control of ports, development of oil fields, and completion of the large FAO project.

He added that floating the currency does not serve the Iraqi economy and causes great harm to the market https://ninanews.com/Website/News/Details?Key=886092

The Exchange Rates Of The Dollar And Foreign Currencies In The Local Market

Market  Economy News _ Baghdad  "Economy News" publishes a list of exchange rates for dollars and foreign currencies on the local markets on Friday.  The price of the dollar against the Iraqi dinar

Prices of the exchange offices:

the selling price of the dollar is 145,750,  the purchase price of the dollar is 144,750

International foreign currencies

100 euros 119.65 dollars  -- 100 pounds 136.86 dollars  -- 100 dollars 713.71 Turkish lira

Number of observations 84 Date of addendum 02/05/2021

https://economy-news.net/content.php?id=23967

In Detail ... The Most Prominent Financial Statements Voted By The Parliament So Far In The 2021 Budget

Time: 02/05/2021 15:45:42  Read: 4,667 times  {Baghdad: Al Furat News} A representative source revealed the most prominent thing that the Parliamentary Finance Committee has voted so far in the draft federal budget law for 2021.

The source stated that the committee voted on the following:

- Abolishing the clause withholding the salaries of state employees and retirees

- Reducing the budget of the three presidencies by 20%

- Reducing the total deficit from 47% to 19%, i.e. from 76 trillion dinars to 25 trillion dinars

- Reducing borrowing to 51 trillion dinars .

Including dues for lecturers, contracts, and daily workers in the budget.

- Activating the principle of collection in a scientific and thoughtful way.

- Increasing the amounts of developing the provinces from 2 trillion dinars to 4 trillion dinars.

- Increasing the amounts of petrodollars for oil-producing provinces from 500 billion dinars to one trillion dinars.

Allocating all sums allocated to oil and gas producing governorates and considering them a guaranteed financial ceiling for referring service projects in the provinces.

- Increase the armament budget of the Iraqi army and intelligence agencies to develop their combat and information skills to confront the threat of terrorism.

- Increasing the amounts allocated to the social protection network over what was allocated to it in 2020 by one trillion and 500 billion dinars to increase the number of families included in the grant while increasing the value of the grant itself.

- Increase the allocations of the Ministry of Education to enable it to print books and provide stationery for students and students.

- Allocating funds to complete the production lines of the large factories in the Ministry of Industry

- Allocating an amount to compensate those affected by changing the exchange rate from the private sector to ensure the continuation of projects at the request of the Ministry of Planning and the supervision of the Federal Office of Financial Supervision.

Allocating sums to pay farmers 'and farmers' dues in full, allowing them to enter imported materials used directly, and preventing agricultural commodities produced in Iraq from entering through the outlets to develop the agricultural side and support farmers, with an amount of 200 billion dinars allocated to provide them with agricultural pesticides, fertilizers and seeds.

Supporting the decentralized system in the governorates and giving powers to the governors to make decisions without red tape or complicating ministries.

- Supporting and engaging the Iraqi private sector, in which more than 5 million citizens work, to build investment projects and stimulate the local market

- oblige the ministries to buy the local product and not allow the entry of goods similar to the local product if it is sufficient for self-sufficiency.

Supporting the Popular Mobilization Authority with the necessary equipment to fulfill their duties and protect their members in the fight against ISIS.

- Abolishing the Cabinet’s decision on preventing the entry of cars with minor damage to operate industrial neighborhoods in Iraq {denting, dyeing, etc.} that will provide thousands of job opportunities.

- Abolishing the clauses that allow the sale of state real estate and assets for fear of corruption in this file.

Allocating funds for the construction of Nineveh Airport, Dhi Qar Airport, the Grand Port of Al-Faw, and the innovation project to deliver potable water to Basra.

Allocating funds to develop and complete the refineries of Shuaiba, Nasiriya, Karbala and Baiji to stop the import of petroleum products, which are costing us trillions of dinars.

Giving authority to the Ministry of Health to bring in large companies specialized in hospital management and to provide health and medical services for free.

- Adding an amount of 339 billion dinars to the amount of drug purchase to increase the purchasing power to purchase medicines and make them available to citizens.

Ensure the delivery of crude oil produced in the fields of the Kurdistan region to the federal government.

- Increasing compensation amounts for those affected by terrorism and those included in the decisions of the Martyrs Foundation and the Political Prisoners Foundation.

Allocating $ 199 million for this year to build 1,000 new schools in all governorates.

Allocating funds to build 100-bed hospitals in each governorate, along with rehabilitating Al-Jumhori and Ibn Sina hospitals in Nineveh and building a hospital in Al-Rumaitha district in Al-Muthanna governorate, Saqlawiyah hospital and Balad.

Canceling the licenses and licenses of mobile phone companies in the event of non-payment of debts owed by them to the public treasury.

To stop spending the sums allocated for conferences, petty cash and hospitality in all ministries.

- To oblige the Council of Ministers to automate the procedures of tax, customs and import licenses at the border outlets and link them to the currency sale window at the Central Bank of Iraq.

- Importing companies are required to take out insurance in Iraqi companies exclusively to increase state revenues.

- Inclusion of areas outside the basic design of Baghdad governorate with municipal service and allocating the necessary funds for that.

- Obliging the Council of Ministers to implement the biometric system for employees to detect aliens in all ministries and institutions.

Obliging the Council of Ministers to re-evaluate and negotiate with oil licensing rounds companies and Ministry of Electricity contracts.

- Canceling all customs exemptions granted to countries.

Allocating funds for the implementation of the Babil sewers project, the water desalination project for the Basra governorate, the large Samawah water project, the Nahrawan, Wehda, Abu Ghraib and Sabaa al-Boor sewers project in Baghdad.  Allocating funds for establishing combined cycle power stations in Wasit, Samawah, Anbar and Nasiriyah.    LINK 

Learn About The Paragraphs That The Parliament Voted On From The Budget

Political| 03:07 - 05/02/2021   Baghdad - Mawazine News  , Chairman of the Parliamentary Finance Committee, Haitham Al-Jubouri, announced, on Friday, the paragraphs that the committee voted on in the draft budget law.

Al-Jubouri said in a statement that Mawazine News received a copy of, that "the Finance Committee has voted on the following so far in the 2021 budget draft

- abolishing the clause withholding the salaries of state employees and retirees

- reducing the budget of the three presidencies by 20% ؜

- reducing the total deficit from 47% ؜ To 19% means from 76 trillion dinars to 25 trillion dinars

- Reducing borrowing 51 trillion dinars

- Including lecturers' dues, contracts and procedures

- Activating the principle of collection in a scientific and thoughtful manner

- Increasing the amounts of governorate development from 2 trillion to 4 trillion

- Increasing amounts Petrodollars for oil-producing provinces from 500 billion to one trillion dinars

- Allocating all sums allocated to oil and gas producing provinces and considering them a guaranteed financial ceiling for referring service projects in the provinces

- Increasing the armament budget of the Iraqi army and intelligence agencies to develop their combat and information skills to confront the threat of terrorism

- Increasing the amounts allocated to the social protection network than what is allocated to it in the 2020 by a trillion and a half dinars to increase the number of families included in the grant while increasing the value of the grant itself

- Increase the allocations of the Ministry of Education to enable it to print books and provide stationery for students

- Allocate amounts to complete the production lines of the large factories in the Ministry of Industry

- Allocate an amount to compensate those affected by changing the exchange rate from The private sector to ensure the continuation of projects at the request of the Ministry of Planning and the supervision of the Federal Office of Financial Supervision

- Inclusion of financial entitlements for lecturers, 315 contracts and wages for all ministries, whose contracts have been canceled in all security services (in our previous publication), administrators, craftsmen, writers and guards. "Ended 29 /    https://www.mawazin.net/Details.aspx?jimare=140622

Income Tax And Government Deductions

Dr. Bilal Al-Khalifa   122 2021-02-05

Tax: An amount of money that the financial authority collects from the taxpayer for the account of the public treasury and represents a portion of the net income (profit) that is earned for him during the year preceding the estimated year.

Income: the net income of the taxpayer that he obtains during the year from the sources indicated in Article Two of the amended Income Tax Law No. 113 of 1982.

As for now, we list the most important laws that have allocated income tax since the establishment of the Iraqi state until now:

1- Income Tax Law No. (52) for the year 1927, which was the first Iraqi law whose provisions were implemented by the Income Directorate at the time, and these two laws formed the first two legislations related to the imposition and collection of direct taxes in Iraq after the establishment of the modern Iraqi state in 1921, and then took over the enactment of tax laws and legislation

2 - In the year 1939 the Income Tax Law No. 52 of 1927 was abolished, when the Income Tax Law No. 36 of 1939 (published in the Iraq News Issue No. 1723) was issued, and then it was amended by Law No. 67 of 1943, according to which the following incomes were subject to income tax

3 - As for the year 1956, Income Tax Law No. 85 of 1956 was issued

4- Where in the year 1959 the Income Tax Law No. 95 of 1959 was issued

5 - Income Tax Law No. (113) for the year 1982, which became effective as of the fiscal year 1983, and amendments have been made to this law. Accordingly, the law currently in force is the Income Tax Law No. 113 of 1982 amended.

v Below are the most important ratios approved for withholding income tax

1 - Income tax rates achieved for the period 1994-1999 according to Law No. 17 of 1994.

10% = the first 25,000 dinars

15% from 25,000 to 70,000

20% from 70,000 to 130,000

25% from 130,000 to 210,000

30% from 210,000 to 330,000

35% from 330,000 to 450,000

40% from 450,000 to 600,000

45% from 600,000 to 750,000

50% of more than 750,000 dinars

2 - Income tax rates achieved for the period 2000-2003 according to Law No. 25 of 1999.

10% = the first 250,000 dinars

20% from 250,000 to 1,000,000

30% from 1,000,000 to 2,000,000

40% of what was more than 2,000,000

3 - Then the ratio was amended to become as follows (approved for the years 2010, 2011 and 2013

3% for salary from 1 to 500,000

5% for salary from 500,000 to 1,000,000

10% for salary from 1,000,000 to 2,000,000

15% for salary - from 2,000,000 or more

4 - Tax rate for the year 2012

3% for salary from 1 to 250,000

5% for salary from 250,000 to 500,000

10% for salary from 500,000 to 1,000,000

15% for salary of 1,000,000 or more v Notes

1 - The tax system is a global system, and global budgets are based on it, but without being pressure on citizens

2 - The importance of taxes is very great, as it is a major player in the presidential elections for many democratic countries. Therefore, candidates are quick to win the votes of the electorate by reducing the percentage of deductions and compensating them for reforms and other resources.

3 - We note that the income tax law has changed after each period of time or amended, and this is a natural thing, in order to keep pace with political and economic change.

4 - The recent income tax law that was enacted in 1982 and was amended after that, as well as the issuance of many instructions and decisions related to tax, and a new income tax law was supposed to be enacted to accommodate the great change in the economy, especially as we are living in an economic crisis caused by the Corona pandemic.

5 - The law does not refer to the higher categories of those with salaries of more than 3 or 4 upward.

6- It was also supposed that the income tax rate should not be raised because the employee suffers from high prices as a result of the devaluation of the Iraqi dinar.

7. The trend towards increasing the tax withholding is an indication of the deficit of the country's economic policy, and thus it goes to the weakest link, which is the employee and the retired with deduction.

8. A new income tax law should be enacted, I said earlier, but retirees must be exempted from tax or set a special rate for them that is a little closer to being symbolic.

9. In the budget, he mentioned deductions from the salaries of employees. In fact, this is a bad initiative that it is taking in filling the deficit in the federal budget, as you know that the public debt is on the increase and the deficit in the coming year may be greater, so is deduction is the solution that the government takes in the event of its deficit

10. Although the employee received three strikes, namely, the price of the dinar against the dollar, the tax on the markets and deductions, therefore we do not see that the sixth has put a solution, even at the near level, except to harm the employee.

11. In the 2021 budget, expenditures increased by up to 160% from last year, but on the other hand, investment expenditures decreased, and we know that you know that the investment has a return and operational means an expense only, and this is a violation of the basics of the country's economic management.

12. We see that proceeding with deduction is an underestimation of the citizen and the employee, and obstinacy with a wrong opinion   http://burathanews.com/arabic/economic/385816

  

To read more current and reliable Iraqi news please visit BondLady’s Corner:

 https://www.bondladyscorner.com/

Previous
Previous

"Blasts From the Past" From Recaps Archives

Next
Next

Bruce’s Big Call Intel Thursday 2-4-21