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President urges MPs to thwart PM’s tax plan

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President Václav Klaus urged parliament on Monday to reject tax hikes in a vote this week that was intended to reassure investors but instead may shatter the cabinet. Prime Minister Petr Nečas says the plan to hike the value-added tax, for the third time since the start of the economic crisis, is essential to cut the budget gap. He says his government may quit if its plan is rejected.

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