...attempt to reverse the trend of a widening fiscal deficit.
The centre-right government had staked its future on the reforms, even though it has just 100 out of 200 seats in the lower house.
Some opposition leftist deputies crossed the floor, as expected, to allow the reform package to pass with 102 in favour, and 98 against.
The reforms slash personal and corporate income taxes and compensate for the revenue drop by a sales tax increase and cuts in health and social benefits.
The government aims to cut the budget deficit to 3.2 percent of GDP in 2008 and, along with further measures to be introduced later, to 2.5 percent in 2010, from 4 percent seen this year.
[PRAGUE/Reuters/Finance.cz]