RRI Live!

Listen to Radio Romania International Live

New Fiscal Code Passed by Senate

A new Fiscal Code bill was endorsed by Senate on Tuesday

New Fiscal Code Passed by Senate
New Fiscal Code Passed by Senate

, 02.09.2015, 13:55

Supported by its initiators, the left-wing Government in Bucharest, but criticised by both the business community and the countrys international lenders, the new Fiscal Code stands great chances of being endorsed next week, when it could go to President Klaus Iohannis for promulgation.



In a first stage, the President sent it back to Parliament, warning that a sudden fiscal relaxation would jeopardise the budgetary balance. Through a rare consensus in the Romanian politics, Power and Opposition agreed on a new formula to enforce the Code, one that would not affect the budget but that would encourage economic growth at the same time. The VAT reduction to 20% would therefore be implemented as of January next year, and a further cut, to 19%, will be operated in January 2017. Also postponed for 2017 is the elimination of an additional excise duty on fuels and of a tax on special structures.



The Social Democratic Senator Constantin Popa believes the endorsement of the Fiscal Code to be a landmark for the Romanian economy:



Constantin Popa: “It is a major step forward for the Romanian economy and for Romanians in general, it is a moment when taxes and charges are cut down, so I should say this is a starting point from where we can move forward with more determination.



The Liberal Senator Dinca Marinica says the greatest strength of the Code is that it does away with the legislative ambiguity and brings together several laws into one text.



Dinca Marinica: “This Fiscal Code regulates all the types of taxes and charges in a way that makes them coherent. A lot of voices, particularly coming from the business community, have complained over the years that we have too many taxes and this hinders the development of companies and of the economy in general, while at the same time affecting the State Budget and the local budgets.



On the other hand, the Government says it will implement some of the measures in the Fiscal Code ahead of the agreed deadline, based on the revenues to the state budget in the first 8 months of the year. PM Victor Ponta explained that revenues increased considerably after the VAT for foodstuffs was cut down to 9% and contributions to the social security fund were reduced, and that one of the reasons for this development is the improved activity of the National Tax Administration Agency. According to the Prime Minister, the Romanian economy is responding to the controlled tax reduction and to a more efficient activity of the Tax Agency, and in the first 8 months of the year the budget collected 2.5 billion euros more than in the corresponding period of the previous year.

Photo: ©European Union, 2017, Source: EC - Audiovisual Service Photographer: Mauro Bottaro
Today in the News Monday, 28 April 2025

The 20th anniversary of a historic treaty

It’s been 20 years since Romania signed its EU accession treaty, which allowed it to officially become a member of the European Union on 1st...

The 20th anniversary of a historic treaty
Credits: Facebook/Sorin Grindeanu
Today in the News Monday, 28 April 2025

Additional bridges over Prut River

Romania and the Republic of Moldova will soon be connected by a new bridge over the Prut. The new bridge, for which construction works started last...

Additional bridges over Prut River
Mircea Fechet (Photo: gov.ro)
Today in the News Friday, 25 April 2025

The Environment Fund Administration gets record budget

The Environment Fund Administration this year received from the government a record budget for investments, worth over 3.2 billion euros. The money...

The Environment Fund Administration gets record budget
Minister of Education and research, Daniel David
Today in the News Friday, 25 April 2025

Measures for the Romanian education

During Thursday’s meeting, the Romanian government discussed several laws related to education. They established the legal framework for...

Measures for the Romanian education
Today in the News Thursday, 24 April 2025

A new law on the magistrates’ pensions

There are several occupational categories in Romania whose employees are usually retiring under the age of 50 and whose pensions aren’t exclusively...

A new law on the magistrates’ pensions
Today in the News Thursday, 24 April 2025

Downward forecast revision from the World Bank

According to its latest report, the World Bank expects growth in developing economies in Europe and Central Asia to slow down to 2.5% in 2025-2026...

Downward forecast revision from the World Bank
Today in the News Wednesday, 23 April 2025

From budget deficit to governmental debt

  The Romanian finance ministry reiterates Romania’s commitment to meet the 7% of GDP deficit target at the end of the year, and promises...

From budget deficit to governmental debt
Today in the News Wednesday, 23 April 2025

Romanian – German Friendship Day

A year ago, former Romanian President Klaus Iohannis, himself an ethnic German from Transylvania, promulgated the Law establishing April 21 as...

Romanian – German Friendship Day

Partners

Muzeul Național al Țăranului Român Muzeul Național al Țăranului Român
Liga Studentilor Romani din Strainatate - LSRS Liga Studentilor Romani din Strainatate - LSRS
Modernism | The Leading Romanian Art Magazine Online Modernism | The Leading Romanian Art Magazine Online
Institului European din România Institului European din România
Institutul Francez din România – Bucureşti Institutul Francez din România – Bucureşti
Muzeul Național de Artă al României Muzeul Național de Artă al României
Le petit Journal Le petit Journal
Radio Prague International Radio Prague International
Muzeul Național de Istorie a României Muzeul Național de Istorie a României
ARCUB ARCUB
Radio Canada International Radio Canada International
Muzeul Național al Satului „Dimitrie Gusti” Muzeul Național al Satului „Dimitrie Gusti”
SWI swissinfo.ch SWI swissinfo.ch
UBB Radio ONLINE UBB Radio ONLINE
Strona główna - English Section - polskieradio.pl Strona główna - English Section - polskieradio.pl
creart - Centrul de Creație Artă și Tradiție al Municipiului Bucuresti creart - Centrul de Creație Artă și Tradiție al Municipiului Bucuresti
italradio italradio
Institutul Confucius Institutul Confucius
BUCPRESS - știri din Cernăuți BUCPRESS - știri din Cernăuți

Affiliates

Euranet Plus Euranet Plus
AIB | the trade association for international broadcasters AIB | the trade association for international broadcasters
Digital Radio Mondiale Digital Radio Mondiale
News and current affairs from Germany and around the world News and current affairs from Germany and around the world
Comunità radiotelevisiva italofona Comunità radiotelevisiva italofona

Providers

RADIOCOM RADIOCOM
Zeno Media - The Everything Audio Company Zeno Media - The Everything Audio Company