Government Dispatch October 24, 2005 Economic Liberalisation Bill (2005) As of this day, October 22nd 2005, the Upper Committee of the Niagara Union has signed into law the 'Economic Liberalisation Bill (2005)'. The bill, proposed by President of the Union, Ernest Hutchinson, was voted into practice in a vote of 13 - 7. Contents - Introduction - Revised taxation - Federal borrowing rate Introduction The economic liberalisation of the Union brought many boons, such as the expansion of the Niagaran financial system, increased productivity in the oil and arms industries (among others), plentiful investment both domestically and internationally and greater innovation for almost all industries. This bill seeks to strengthen and grow Niagara's new free market and make the national more appealing for investment and strong economically. Revised Taxation Citizen taxes In the past, Niagara has had a comparatively high income tax, with citizens needing to hand over much of their income. With the Economic Liberalisation Bill, income tax will be brought down considerably, even further down from the Taxation Regulation Act (2002). The tax brackets are as follows: Single-person tax rate: $0 - $8,000 - 10% $8001 - $32,550 - 15% $32,551 - $78,850 - 25% $78,851 - $164,550 - 30% $164,551 - $357,700 - 33% $357,000+ - 35% Tax rates for married couples, widows and other groups have also been lowered to all for more monetary freedom for the people of the Union. Inheritance tax has also been brought down considerably. Corporate tax Corporate tax, for all companies within the Union, has been brought down to a base rate of 25%, a major slashing from previous years. However, in addition to this, a number of considerable tax cuts are offered to companies of various industries or who perform particular services. Notable industries receiving tax cuts are tech, IT, automobile, high-end manufacturing, banking and law. The purpose of these cuts is to make the Union one of the best places in the world to conduct business. Federal borrowing rate The Central Bank of the Union will be lowering the federal borrowing rate to 2.5%. Ernest Hutchinson President of the Union |