Taxes on salaries in US dollars stir controversy

The attempt by the financial authorities to secure treasury revenues to cover the deficit in the 2022 budget by raising taxes on those who receive salaries in US dollars in Lebanon did not go unnoticed.

The outcry that rose with the threat of foreign companies that they would leave Lebanon if they and their employees had to pay high taxes, slowed down the issue. 

The solution came, however, from the Parliament, as the Finance and Budget Committee listened to Caretaker Minister of Finance Youssef al-Khalil about his decisions in this regard.

The minister assured to the committee that he and his team have been working since last week to find a solution to relieve the citizen and secure revenues to cover budget expenditures. 

However, the minister’s statement did not succeed, and the minister’s decision was delayed.

The Ministry of Finance did not explicitly announce it. It confirmed in a statement the minister’s intention to complete the meetings he had previously initiated with labor bodies, economic actors, and other stakeholders in preparation for taking the necessary decision in a way that ensures effective treatment that preserves the rights of employees as well as the rights of the treasury.