(MENAFN) The Czech government is having a hard time trying to get support for its unpopular austerity measures aiming to bring down the country's budget deficit below 3 percent of GDP, AP report.
The government wants to reduce the deficit to retain the confidence of the markets.
Recently, the lower house said no to a 1 percent increase in the sales tax on retail goods and a 7 percent income tax increase for the highest-earners.
The parliamentary rejection came after six lawmakers from the conservative Civic Democratic Party of Prime Minister Petr Necas voted against because they said the tax hikes are against their party's values.
The government is re-submitting the new measures. Necas said a new vote should take place in three months and the government is linking it to a confidence vote.
If that vote also fails, the coalition government will fall.
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