According to current legal regulations, salaries and incomes with salary and wages are subject to personal income tax (PIT). This also applies to primary school teachers who are civil servants in public schools.
Pursuant to Clause 2, Article 3 of the Law on Personal Income Tax 2007, amended by Clause 1, Article 1 of the Law on Personal Income Tax amended in 2012, taxable income is determined as follows:
individual income taxable income includes the following types of income, excluding tax-exempt income as prescribed in Article 4 of this Law. Income from salaries and wages includes: salaries, wages and amounts of salary and wages; allowances and subsidies, except for some cases regulated by law for exemption; remuneration in various forms; money received from participating in business associations, board of directors, control boards, management boards and organizations; other benefits that taxpayers receive in money or not in money; bonuses, except for some items exempted according to regulations.
Thus, the salary of primary school teachers is a civil servant, in essence, belonging to the group of income from salaries and wages. Therefore, this income is subject to personal income tax.
However, whether or not to pay actual tax depends on the income level after deducting family deductions, compulsory insurance and other exemptions according to the provisions of law. In case the total taxable income does not exceed the taxable threshold, teachers will not have to pay personal income tax.
This means that: primary school teachers' salaries are subject to personal income tax according to the law, but the obligation to pay tax will be specifically determined based on the income level and deductions in each case.
