Lebanese Constitutional Council Canceled The Tax Law!

In August, a new tax law was proposed to fund the salaries of the employees in the public sector. It was approved by the Lebanese parliament and signed by President Michel Aoun. MP Samy Gemayel

filed an appeal

which was signed by himself and nine MPs, who are: Nadim Gemayel, Samer Saade, Elie Marouni, Fadi Al Haber, Dori Chamoun, Butros Harb, Khaled Al Daher, Fouad Al Saad, and Salim Karam. After the appeal, the Lebanese Constitutional Council held a meeting that resulted in the

suspension

of the tax law. Gemayel believes that the increase in the wage scale should not harm the citizens’ financial state. Yesterday, the Lebanese constitutional Council canceled the new tax law.

What about the salaries?

The tax hike was supposed to fund the salaries of the employees in the public sector. After the cancellation of the law, the situation of the salaries is uncertain. According to

sources

, Prime Minister Saad Hariri called for an urgent meeting on Monday to address this issue. If the tax law got approved, it would have decreased the purchasing power of the citizens from 10% to 20%. The plan was to increase the salary from 10% to 11%. In fact, economy experts warned that a financial crisis will follow the tax hikes prior to passing the law. The civil servants and teachers said that if the government fails to fix this problem, they will start

protesting

again. In fact, many protests took place in Beirut this year to oppose the tax hikes.

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