
The ruler coalition of Estonia fell on after the exclusion of social democrats, paving the way for a new political configuration with tax changes in the country
The coalition of three parties in power in Estonia collapsed in this Monday (10), when the Reform Party and Eesti 200 decided to remain in the bipartisan government, excluding social democrats. According to the Xinhua news agency, the president of the Social Democratic Party, Lauri Laanemets, said this on Monday (10), at the end of the coalition council meeting.
“Two words justified the end of the coalition: so that the reform party and Eesti 200 can follow right -wing policies,” Laanemets said.
He cited the low classification of the reformist party as the second reason for the coalition’s collapse.
The social democrat leader called the exclusion of the government party “a stab in the back.”
Prime Minister Kristen Mihal (Reform Party) later said at a news conference that the new coalition, in which only the Reformist Party and Eesti 200 remain, intends to abolish corporate income tax to be introduced on January 1, 2026.
“The first thing we plan to do is cancel various tax increases, including corporate income tax. We will prepare a bill for this purpose, ”Michal said at the press conference about the change in the composition of the coalition.
“Another desire is to reduce the tax burden on individuals. Income tax should be charged in the first euro next year, but this will not happen. Income tax will increase to 24 percent, but will not be charged from the first euro, ”said Michal.
The Estonian government, formed by the governing coalition composed of the Reformist Party, the Social Democratic Party and the Eesti 200, was officially established in July 2024.
Source: https://www.ocafezinho.com/2025/03/10/governo-da-estonia-entra-em-colapso-politico/