Estonian Economy and Communications Minister Edgar Savisaar plans to continue fighting for tax cuts for shipping.
The plan is to apply tax reductions for cargo ships as of the second half of
the current year and for passenger ships from the beginning of 2007. According
to the planned system, shipping enterprises must calculate the social taxes of
sailors on cargo ships from double the minimum wage and the social taxes of
employees on passenger ships from triple the minimum wage.
In 2008-2010, the tax reductions for cargo and passenger ships would equalise
and taxes would be paid from double the minimum wage. Shipping support is
provided for under an EU directive whose aim is to keep ships under European
flags.
