First Entrepreneurs’ Protest: They Demand Lower Taxes and the Abolition of Parafiscal Charges at Mark’s Square

Around 1 PM, the leaders of the Association Voice of Entrepreneurs are expected to address the public, while at the same time, groups of 40 protesters will be arriving at Mark’s Square. Transporters are departing from the Plitvice rest area, continuing their journey towards leasing companies in Škorpikova and Ilica, which have not confirmed that they will comply with HANFA’s instructions. The journey ends in Palmotićeva Street, where transporters will be unloading every five minutes, and other protesters will join them there.

Groups of 40 people will form at European Square and will proceed, one by one, through Ban Jelačić Square towards Mark’s Square. They will briefly stop there to convey their messages to the government and the prime minister before descending via Tomićeva Street to Ilica.

Meanwhile, Minister of Tourism Gari Cappelli stated on Thursday that he is satisfied with the meeting with representatives of the Voice of Entrepreneurs association and occasional transporters, who also stated that they agreed on important issues and that there is now no longer a need for sharp rhetoric at the protest. The meeting was held on Thursday morning at the Ministry of Tourism, ahead of the government session and the announced protest of entrepreneurs and their employees organized by the Voice of Entrepreneurs association and the Initiative for Occasional Passenger Transport, and besides representatives of the associations and the Minister of Tourism, representatives of other tourism associations, the Croatian Chamber of Economy (HGK), and others were also present. 

Representatives of the associations and the initiative reported at the meeting about the unenviable situation in which occasional transporters found themselves. Thanking the minister for receiving them and for resolving, as he said, ‘noise’ in communication, the representative of the Initiative for Occasional Passenger Transport, Marko Slišković, stated that they are satisfied with everything they discussed at the meeting, assessing that they have also initiated a ‘real entrepreneurial dialogue’.

– We are all on the same side, and we all want to work together to solve our problems. We have scheduled the next meeting for next week, when we will have new information on what has been done and what will be done, and everything that the Initiative has requested so far can be expected to be fulfilled, and that we will save this vital branch of tourism and about 20 thousand jobs – Slišković said after the meeting.

He expects that next week representatives of leasing companies, who were not invited today, will also attend the meeting to discuss possibilities regarding the moratorium, debt forgiveness, and how everyone can find solutions and a calculation model for partial or complete debt forgiveness. He also reported that the protest scheduled for today is going according to plan, that buses from all over Croatia have headed towards Zagreb, and that it is not only transporters but also other activities and people who are providing support.

– We will not cancel the protest, but we will soften the rhetoric, as it no longer makes sense after this meeting to be harsh if we have started with concrete dialogue and are ready for discussions – he stated, adding that some leasing companies have shown understanding, and they expect the same from others. 

Representatives of the Voice of Entrepreneurs stated that they expect better information regarding the possibilities of funds from EU funds, and support was also given by the president of UHPA, Tomislav Fain. Minister Cappelli emphasized that they will meet more frequently, proceed step by step, and that everyone wants to solve problems together.

– We will see in which direction new measures for protecting the sector and saving jobs can go, but this government has proven that it knows how to deal with a crisis, and we also believe in the mechanisms of the EU and the European Commission for co-financing the sector from EU funds. Everyone in the EU is working on this, and this was also discussed at yesterday’s conference of EU ministers, where transport was specifically mentioned – Cappelli said.

Bujas: Finally, They Have Started to Take Us Seriously

More than a hundred people at the protest carried banners saying “Stop Parafiscal Charges”, “Stop Discrimination Against the Event Industry”, “Remove Our Charges”, and similar.

The president of the Voice of Entrepreneurs, Hrvoje Bujas, stated that they had discussions for the first time this morning with three ministries – finance, tourism, and the sea, transport, and infrastructure.

– Finally, they have started to take us seriously. We received clear guarantees from the ministries – Bujas said, emphasizing that for the first time in Croatian history, a protest of entrepreneurs has occurred.

– Today we heard from Minister of Tourism Gari Cappelli that by May 27, it will be known how much of the 500 billion euros from the EU fund for helping member states Croatia will receive. Whether it is one billion, two, or three euros, we will see, and then we will know how much will go through HBOR, how much through Hamag-Bicro, for subsidies and possibly extending measures. Today they announced that support measures will be extended on a month-to-month basis, for June and July, but that the criteria will not be as before, but more rigorous – Bujas said.

In a week, protesters expect a new meeting with representatives of the mentioned ministries, when they expect answers on how much EU money is going to Croatia and what will happen with leasing companies that do not want to talk to them.

Occasional transporters are seeking a moratorium on loans and leases from banks and leasing companies for a period of at least 12 months with interest forgiveness, as well as non-repayable funds from EU funds to save the industry, and an extension of measures for preserving jobs for an additional 3 months for these activities and the abolition of periodic technical inspections during the epidemic. They also want their loan interest to be forgiven or reduced to a level of 0.5 to 1 percent, from the current 4 percent. 

They are also seeking an extension of measures for preserving jobs for an additional 3 months for these activities and the abolition of periodic technical inspections during the epidemic.

At the meeting organized by the Voice of Entrepreneurs association and the Initiative for Occasional Passenger Transport regarding the unenviable situation in which occasional transporters found themselves, only representatives of three leasing companies – Erste, RBA, and Unicredit, as well as a representative of Hanfa, attended. An agreement was reached with representatives of Erste, RBA, and Unicredit on the framework under which they will operate in the future. 

Bujas emphasized today that he does not want leasing companies, which did not appear at the protest even though they are also entrepreneurs, to go bankrupt. He asked what HBOR is doing in this situation, which finances part of the leasing placements at an interest rate of 1.1 percent. He proposed that the interest be lowered to 0.25 percent, which is what they charge for “Covid loans”.

Bujas also added that it was said that measures for passenger buses and events would soon be relaxed.

In a statement to journalists, he also said that he wants the Croatian government, both current and future, to be clear about the basic postulates that would enable more work without ‘killing’ with taxes.

– Abolish parafiscal charges, and taxes should be fair. We propose a “flat rate” of 20 percent, for example, and give 5,000 kuna as a non-taxable base, so that those who earn the least have money for living,” Bujas stated. The second postulate is the digitalization of society so that the state does not force entrepreneurs to hundreds of counters, the third is “more justice” or the payment of VAT when entrepreneurs collect the invoice, and the fourth is ‘lower taxes’ – says Bujas.

Marko Slišković from the Initiative for Occasional Passenger Transport said that they are more satisfied today than before, assessing that they had a good meeting with representatives of the Ministry of Tourism, which showed that it wants to help.

In occasional transport, there are 1,200 licenses in domestic transport and about 800 in international transport, the industry employs about 20,000 people, and has 15,000 vehicles, vans, and buses, of which at least 30 percent are on leasing. 

Furthermore, more than 300 rent-a-car companies have about 25,000 vehicles, of which 15,000 are on leasing. About a hundred largest charter companies have a total of about 4,500 boats on leasing and about 1,800 employees, and they are additionally supported by services, nautical shops, caterers on the islands, and many others.

Berislav Maštalek from the Events Committee of the Voice of Entrepreneurs pointed out that this industry employs 12,000 people and generates 4.5 billion kuna annually, but is currently not operating. The event industry advocates for the continuation of Hamag – Bicro’s credit arrangements, he stated.

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