Commerce is growing, but the tax wedge is decreasing consumers’ purchasing power
The retail sector is growing rapidly this year, but it will gradually slow down to correspond with the rate of growth before the pandemic. Employment rates will not return to the level in 2019, and the need for improved operations and automation remains due to international and domestic competition. The multiple tax wedge of services raises prices and weakens purchasing power. Lighter taxation of work should be one of the primary efforts during the remainder of the current government’s term.
