The Parliament is split on income tax, MP says

Shafaq News / A Kurdish deputy in Sairoon bloc revealed on Monday that the Parliament is split on income tax deductions.

Azad Hamid Al-Qarah Lucy told Shafaq News agency, "The clause of introducing an income tax has sparked controversy in the parliament, considering that they target lower classes of employees," noting, "the deductions will save more than 4 billion dollars to the state treasury annually."

"The amount of deductions in salaries of 500 thousand to one million Iraqi dinars ranges from 25 to 50 thousand dinars," al-Qarah Lucy stressed, "the deductions target huge salaries in the special ranks and the three presidencies."

Al-Qarah Lucy confirmed the Sairoon bloc's support for "simple deductions that do not affect the income of limited income employees."

Regarding the impact of those deductions on the upcoming electoral participation, the Kurdish MP ruled out "any negative effects on the elections".

An exemption from this income tax is for those whose total monthly income is 500 thousand dinars or less.

10% will be deducted from the salaries ranging between 500 thousand and one million dinars, 20% between one million and one and a half million Iraqi dinars, and 30% on salaries that exceed 1.5 million dinars.

This tax includes civilian and military retirees at the same rates, and a 10% tax is imposed on retirement and end-of-service benefits.