Loading ...Attending debates in the Parliament’s plenary meeting on the draft budget for 2010, Vladescu said that measures that would reduce budget revenues are unacceptable and that the removal of the minimum tax would weaken revenues to the public purse.
According to the Finance Minister, the minimum tax will be scrapped and a lump sum tax will be levied only in particular activity areas, after the Finance Ministry performs the necessary calculations.
Taking the Parliament floor on Monday, Prime Minister Emil Boc also declared the Finance Ministry is currently working on a redesign of the minimum tax and the transformation thereof into a lump sum tax.
The Budget-finance Committees adopted a series of amendments to the draft state budget that result in the reduction of budget revenues, such as the removal of the minimum tax and the enforcement of the reduced VAT of 5 pct on housing construction.
On December 23, Prime Minister Emil Boc explained in Parliament that the minimum tax needs to be redesigned in 2010 and redirected towards areas such as public food services (restaurants) or the hospitality industry, where tax evasion is more difficult to control. Boc said that the minimum tax has attained its purpose in 2009, namely that of discouraging tax evasion, and that the offending businesses had either been driven out of the market, or had given up such practices.
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