Highlights on the Calculation Method of the Salaries’ Income Tax Accounting

Abstract

This paper aims to call attention to the method of calculating the salaries’ income tax and its share in total budget revenues. Salary income is considered all income in money obtained by a person who carries out an activity based on an individual employment contract, and the tax is calculated and withheld by cumulating with the income from salaries for that month, and its payment to the state budget is performed monthly. The salary tax, which represents 78.4% of the revenues related to this budget aggregate, had a very slow dynamics, recording an increase of only 1.3% in 2020 compared to 2019.