The Lithuanian government will not change its plans and will submit the tax reform package to the parliament, despite initiatives to call an early election and for the cabinet to resign, Prime Minister Ingrida Šimonytė says.
“I believe the government will still submit [the tax reform legislation] according to plan […], no matter what, and the government is working,” the prime minister told reporters on Friday.
On Thursday, the Liberal Movement political group in the Seimas, which is part of the ruling block, said it would take a more “moderate” position on the tax reform in the face of the ongoing political uncertainty. The group will “unconditionally support only those parts of the tax reform” that are necessary to secure funding from the European Commission and to implement the Recovery and Resilience Facility plan.
“I think what the Liberal Movement group said is the right approach in the sense that the state’s interest in receiving full RRF funding is probably more important than other minor political disagreements. That is why, in principle, the entire tax package, except for the amendments to the VAT law, is about unlocking RRF funds. So I hope that the Liberal Movement will keep its word and support the whole package accordingly,” the prime minister said.
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