Government moves forward with IRS cut it had committed not to makePhoto by raymondfani on Pexels
Politics

Government moves forward with IRS cut it had committed not to make

Público8 September 2026 at 21:00

The Prime Minister Montenegro announced an IRS cut and pension bonuses, in a significant change from what had been communicated by the Finance Ministry just a week earlier. The announcement was made publicly by the head of government.

Just a week earlier, the Finance Ministry had responded to Parliament that the IRS reduction would not take place this year, invoking "fiscal responsibility" as justification for the decision.

The government's change of position comes after publicly assuming the impossibility of proceeding with the tax cut due to budgetary discipline reasons, raising questions about the reasons that led to the reversal of this decision in such a short time.

Montenegro's announcement directly contrasts with the official response sent to Parliament, where the executive had assured that the tax reduction would not be carried out during this year.

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