consumption

As urbanization is continuing in a rapid speed it will also drive the further demand for energy resources. World energy consumption is expected to increase 39% by 2050. Knowing all that and thinking about our energy sector, what could be three suggestions to make?

The wording of the drafted law does not provide sufficient guarantees for the exclusive application of the reduced rate for the declared taxable product supplies only. The proposal was made without an in-depth analysis by the National Revenue Agency.

Currently, the Czech Republic does not have a separate capital gains tax for individuals or for corporations; capital gains are included in PIT and CIT. There are also a few cases in which capital gains are exempt, mainly pertaining to property.

In the beginning of 2019, the governmental Institute of Financial Policy (IFP) came with the issue of tax on sugar. However, we believe that in this case once again, the tax discussion precedes the discussion about the core problem - obesity. Therefore, INESS prepared a new publication entitled \"Bitter Tax on Sugar\".

After three years of decline, illegal trade in alcohol is on the increase, shows a research by the Lithuanian Free Market Institute (LFMI). According to LFMI, this year the shadow economy occupied 24% of the spirits market in Lithuania, representing an increase by two-percentage points since 2015.

The economic situation in Ukraine in 2015 and 2016 will depend on progress in externally supported reform program and on stabilization in the Eastern Ukraine. Fiscal consolidation, decline in real wages and unemployment will cause reduction of real private consumption. Weak hryvnia, despite dragging down consumption and investments, helps to increase fiscal revenues and narrow the current account deficit.

While the European Central Bank, governments and many economists complain about the danger of deflation a currently published microeconomic analysis from the famous Kiel Institute for the World Economy tells a different story.