The Bill concerning the payment of voluntary sickness benefit to pregnant employees passed the second reading in the Riigikogu

If an employee falls ill, at first their employer and then the Estonian Health Insurance Fund must ensure replacement income for them. For the 4th until 8th day of sickness, the employer must pay the employee a mandatory sickness benefit which makes up 70 per cent of the average remuneration of the employee. In addition, it is possible for an employer to pay a voluntary benefit tax-free until the end of the period for the payment of the mandatory benefit so that the employee would retain their average remuneration during that time. However, the current Act does not allow employers to pay voluntary sickness benefit to women released from work due to illness or injury during their pregnancy, and therefore an allowance for the preservation of earnings for a pregnant employee may be lower than that of other employees. The Estonian Health Insurance Fund pays sickness benefit to a pregnant employee to the extent of 70 per cent of their average income in the previous calendar year.

The Bill on Amendments to § 3 of the Social Tax Act and Amendments to § 34 of the Income Tax Act (260 SE), initiated by the Social Affairs Committee, will give employees an opportunity to also preserve the average pay for pregnant employees during their sickness absence. With a view to ensuring equal treatment, the additional sickness benefit paid until the eighth day of sick leave is exempt from social tax. According to the Bill, the social tax incentive on the benefit will also extend to pregnant sole proprietors. During the second reading, an amendment was made to the Bill to preclude the possibility that the calculated sickness benefit paid to a sole proprietor who is pregnant would be deducted from income and thereby be exempted from income tax insofar as the sickness benefits paid by both the employer and the Estonian Health Insurance Fund are subject to income tax.

The Bill was initiated when the Chancellor of Justice proposed that the provisions that do not ensure that, in the event of sickness, pregnant employees have the right to a replacement income which is at least equivalent to that of other employees be brought into conformity with the Constitution.

Another Bill passed the second reading

The purpose of the Bill on Amendments to the Value Added Tax Act and the Taxation Act (225 SE), initiated by the Government, is to improve the fight against VAT fraud in cross-border e-commerce.

The Bill will establish an obligation for payment service providers to store the data regarding the payees of cross-border payments and to transmit them to the tax authority quarterly if the total number of payments per payee exceeds 25 payments in a quarter. Tax authorities will transmit the data to the European Union’s central electronic system of payment information.

The Bill is connected with an EU directive that Members States will have to transpose and implement from next year.

The Riigikogu rejected 21 draft Resolutions and Bills

The Draft Resolution of the Riigikogu “Making a proposal to the Government of the Republic to abandon the plan to additionally tax packaging and plastics” (65 OE), submitted by Isamaa Parliamentary Group, was intended to propose that the Government abandon the plan to additionally tax packaging and plastics. According to the presenters of the draft Resolution, the aim of reducing packaging waste is right but it is wrong to do this through additional taxation.

13 members of the Riigikogu voted in favour of passing the draft Resolution. A majority vote of the membership of the Riigikogu was required for the draft Resolution to be passed, thus the draft Resolution was rejected.

The Draft Resolution of the Riigikogu “Making a proposal to the Government of the Republic to abandon the plan to eliminate the increased tax allowance for children” (66 OE), submitted by Isamaa Parliamentary Group, was intended to propose that the Government abandon the plan to eliminate the increased tax allowance for children. According to the presenters of the draft Resolution, it is wrong to eliminate the tax allowance, considering the demographic situation of Estonia.

During the debate, Varro Vooglaid took the floor on behalf of the Estonian Conservative People’s Party Group, Andre Hanimägi on behalf of the Centre Party Group, and Mart Maastik on behalf of Isamaa Parliamentary Group.

23 members of the Riigikogu voted in favour of passing the draft Resolution. A majority vote of the membership of the Riigikogu was required for the draft Resolution to be passed, thus the draft Resolution was rejected.

According to the Bill on Amendments to the Weapons Act (19 SE), initiated by the Estonian Conservative People’s Party Group, people of undetermined nationality would have lost the right to hold weapons permit from 15 March next year.

At present, people of undetermined nationality may hold a weapons permit, an acquisition permit, a parallel weapons permit, a permit to carry a weapon, a collection permit, or a European firearms pass until the date of expiry indicated on the permit or authorisation or until any grounds for revoking the permit or authorisation become evident. The Bill would have established that owners of weapons who are of undetermined nationality have a transition period equal to the transition period for citizens Russia and Belarus whose weapons permits will expire and who will have to give up their weapons by 15 March 2024 at the latest.

During the debate, Henn Põlluaas took the floor on behalf of the Estonian Conservative People’s Party Group.

The lead committee moved to reject the Bill at the first reading. 49 members of the Riigikogu voted in favour of the motion and 11 voted against. Thus, the Bill was rejected, and it was dropped from the proceedings.

The Bill on Amendments to the Income Tax Act (75 SE), initiated by Members of the Riigikogu Evelin Poolamets, Helle-Moonika Helme and Rain Epler, was intended to increase the rate of the income tax transferred to the budget of local authorities from 11.96 per cent to 11.97. According to the initiators, increasing the revenue base of local governments will help compensate for the increased expenditure of recent years and will allow them to perform their tasks better.

During the debate, Anti Allas took the floor on behalf of the Social Democratic Party.

The lead committee moved to reject the Bill at the first reading. 41 members of the Riigikogu voted in favour of the motion and 19 voted against. Thus, the Bill was rejected, and it was dropped from the proceedings.

The Bill on Amendments to the Income Tax Act (88 SE), initiated by Members of the Riigikogu Kert Kingo, Arvo Aller and Siim Pohlak, would have increased the rate of the income tax transferred to the budget of local authorities from 11.96 per cent to 12.08 per cent.

The lead committee moved to reject the Bill at the first reading. 40 members of the Riigikogu voted in favour of the motion and 16 voted against. Thus, the Bill was rejected, and it was dropped from the proceedings.

The Bill on Amendments to the Income Tax Act (110 SE), initiated by Members of the Riigikogu Martin Helme, Leo Kunnas, Ants Frosch, Henn Põlluaas, Kert Kingo and Rain Epler, would have increased the rate of the income tax transferred to the budget of local authorities from 11.96 per cent to 12.05 per cent.

The lead committee moved to reject the Bill at the first reading. 40 members of the Riigikogu voted in favour of the motion and 15 voted against. Thus, the Bill was rejected, and it was dropped from the proceedings.

The Bill on Amendments to the Income Tax Act (112 SE), initiated by Members of the Riigikogu Kert Kingo, Jaak Valge and Varro Vooglaid, would have increased the rate of the income tax transferred to the budget of local authorities from 11.96 per cent to 12 per cent.

The lead committee moved to reject the Bill at the first reading. 37 members of the Riigikogu voted in favour of the motion and 15 voted against. Thus, the Bill was rejected, and it was dropped from the proceedings.

The Bill on Amendments to the Income Tax Act (116 SE), initiated by Members of the Riigikogu Martin Helme, Evelin Poolamets and Helle-Moonika Helme, would have increased the rate of the income tax transferred to the budget of local authorities from 11.96 per cent to 12.14 per cent.

The lead committee moved to reject the Bill at the first reading. 40 members of the Riigikogu voted in favour of the motion and 16 voted against. Thus, the Bill was rejected, and it was dropped from the proceedings.

The Bill on Amendments to the Income Tax Act (127 SE), initiated by Members of the Riigikogu Ants Frosch, Mart Helme and Leo Kunnas, would have increased the rate of the income tax transferred to the budget of local authorities from 11.96 per cent to 12.07 per cent.

The lead committee moved to reject the Bill at the first reading. 40 members of the Riigikogu voted in favour of the motion and 19 voted against. Thus, the Bill was rejected, and it was dropped from the proceedings.

The Bill on Amendments to the Income Tax Act (130 SE), initiated by Members of the Riigikogu Rain Epler and Martin Helme, would have increased the rate of the income tax transferred to the budget of local authorities from 11.96 per cent to 12.04 per cent.

The lead committee moved to reject the Bill at the first reading. 37 members of the Riigikogu voted in favour of the motion and 20 voted against. Thus, the Bill was rejected, and it was dropped from the proceedings.

The Bill on Amendments to the Income Tax Act (133 SE), initiated by Members of the Riigikogu Arvo Aller, Rain Epler and Evelin Poolamets, would have increased the rate of the income tax transferred to the budget of local authorities from 11.96 per cent to 12.02 per cent.

The lead committee moved to reject the Bill at the first reading. 40 members of the Riigikogu voted in favour of the motion and 21 voted against. Thus, the Bill was rejected, and it was dropped from the proceedings.

The Bill on Amendments to the Income Tax Act (150 SE), initiated by Members of the Riigikogu Helle-Moonika Helme, Arvo Aller and Martin Helme, would have increased the rate of the income tax transferred to the budget of local authorities from 11.96 per cent to 11.98 per cent.

The lead committee moved to reject the Bill at the first reading. 40 members of the Riigikogu voted in favour of the motion and 20 voted against. Thus, the Bill was rejected, and it was dropped from the proceedings.

The Bill on Amendments to the Income Tax Act (151 SE), initiated by Members of the Riigikogu Rain Epler and Helle-Moonika Helme, would have increased the rate of the income tax transferred to the budget of local authorities from 11.96 per cent to 12.16 per cent.

The lead committee moved to reject the Bill at the first reading. 42 members of the Riigikogu voted in favour of the motion and 20 voted against. Thus, the Bill was rejected, and it was dropped from the proceedings.

The Bill on Amendments to the Income Tax Act (155 SE), initiated by Members of the Riigikogu Rain Epler, Helle-Moonika Helme and Kert Kingo, would have increased the rate of the income tax transferred to the budget of local authorities from 11.96 per cent to 12.12 per cent.

The lead committee moved to reject the Bill at the first reading. 36 members of the Riigikogu voted in favour of the motion and 20 voted against. Thus, the Bill was rejected, and it was dropped from the proceedings.

The Bill on Amendments to the Income Tax Act (181 SE), initiated by Members of the Riigikogu Leo Kunnas, Mart Helme and Ants Frosch, would have increased the rate of the income tax transferred to the budget of local authorities from 11.96 per cent to 11.99 per cent.

The lead committee moved to reject the Bill at the first reading. 38 members of the Riigikogu voted in favour of the motion and 20 voted against. Thus, the Bill was rejected, and it was dropped from the proceedings.

The Bill on Amendments to the Income Tax Act (194 SE), initiated by Members of the Riigikogu Jaak Valge, Arvo Aller and Varro Vooglaid, would have increased the rate of the income tax transferred to the budget of local authorities from 11.96 per cent to 12.11 per cent.

The lead committee moved to reject the Bill at the first reading. 39 members of the Riigikogu voted in favour of the motion and 18 voted against. Thus, the Bill was rejected, and it was dropped from the proceedings.

The Bill on Amendments to the Income Tax Act (199 SE), initiated by Members of the Riigikogu Jaak Valge, Anti Poolamets and Helle-Moonika Helme, would have increased the rate of the income tax transferred to the budget of local authorities from 11.96 per cent to 12.13 per cent.

The lead committee moved to reject the Bill at the first reading. 35 members of the Riigikogu voted in favour of the motion and 17 voted against. Thus, the Bill was rejected, and it was dropped from the proceedings.

The Bill on Amendments to the Income Tax Act (253 SE), initiated by Members of the Riigikogu Helle-Moonika Helme, Evelin Poolamets, Martin Helme and Anti Poolamets, would have increased the rate of the income tax transferred to the budget of local authorities from 11.96 per cent to 12.01 per cent.

The lead committee moved to reject the Bill at the first reading. 42 members of the Riigikogu voted in favour of the motion and 14 voted against. Thus, the Bill was rejected, and it was dropped from the proceedings.

The Bill on Amendments to the Local Government Organisation Act (63 SE), initiated by Isamaa Parliamentary Group, was intended to provide that, in municipal councils, the remuneration and compensation paid to local government executives may be changed only for the next membership of the council.

According to the initiators, the purpose of the amendment is to preclude cases where municipal councils raise the salaries of local government executives immediately after elections. In their opinion, it is not right that municipal councils should discuss and decide on the increase of the salaries of the chairs and deputy chairs of municipal councils, city mayors, and rural municipality mayors elected by them, or of members of city and municipal governments.

The lead committee moved to reject the Bill at the first reading. 42 members of the Riigikogu voted in favour of the motion and five voted against. Thus, the Bill was rejected, and it was dropped from the proceedings.

The Bill on Amendments to the Citizenship Act (67 SE), initiated by Isamaa Parliamentary Group, was intended to preclude the grant and restoration of Estonian citizenship to people who have been repeatedly convicted of intentionally committed criminal offences even if their convictions have been spent. According to the initiators, the same prohibition had also initially been in the Citizenship Act passed in 1995.

Under the current Act, as an exception, Estonian citizenship may be granted or restored to a person who has been repeatedly convicted of intentionally committed criminal offences and whose convictions have been spent, taking into consideration the circumstances related to the commission of the criminal offences and the person of the offender.

During the debate, Anti Poolamets took the floor on behalf of the Estonian Conservative People’s Party Group.

The lead committee moved to reject the Bill at the first reading. 45 members of the Riigikogu voted in favour of the motion and five voted against. Thus, the Bill was rejected, and it was dropped from the proceedings.

The Bill on Amendments to the Use of Privatisation Proceeds Act (70 SE), initiated by Isamaa Parliamentary Group, was intended to allow privatisation proceeds to also be used for the maintenance, repair, conservation, restoration and reconstruction of a structure returned in the course of ownership reform and located in a heritage conservation area.

The initiators find that, if owners of returned historical structures located in heritage conservation areas could also apply for the grants allocated from the ownership reform reserve fund, this would increase the opportunities to preserve the valuable cultural heritage of Estonia.

During the debate, Anti Poolamets took the floor on behalf of the Estonian Conservative People’s Party Group.

The lead committee moved to reject the Bill at the first reading. 44 members of the Riigikogu voted in favour of the motion and five voted against. Thus, the Bill was rejected, and it was dropped from the proceedings.

The sitting ended at 7.36 p.m.

Verbatim record of the sitting (in Estonian)

Video recording will be available to watch later on the Riigikogu YouTube channel.

Riigikogu Press Service
Merilin Kruuse
+372 631 6592, +372 510 6179
merilin.kruuse@riigikogu.ee
Questions: press@riigikogu.ee

Link uudisele: The Bill concerning the payment of voluntary sickness benefit to pregnant employees passed the second reading in the Riigikogu

Source: Parliament of Estonia