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Speaker Ciolacu: It's necessary to amend Fiscal Code

F. P.
Marcel Ciolacu

The Speaker of the Chamber of Deputies, Social Democrat leader Marcel Ciolacu, stated on Wednesday that it is necessary to amend the Fiscal Code, the Finance Minister being expected to come in a maximum of two weeks with analyses from international auditors.

He mentioned that a first discussion in this sense took place on Tuesday in the meeting of the governing coalition.

"We had a first discussion. It's necessary to amend the Fiscal Code, obviously. This does not mean that we will come to new taxes. It's out of the question. It's about a fiscal optimization done in the normal route. I believe that for the first time there is open discussion in the public space on such amendments to the Fiscal Code. A working group was constituted at the Ministry of Finance and, in ten days, two weeks maximum, the Minister of Finance, following these discussions, will come with the proposals and with the analyses coming from international financial auditors. (...) I believe it's normal for this discussion to take place, it's normal that any responsible political coalition see not only today or tomorrow, but come up with a predictable programme on the mid-term and be prepared from this moment on for any challenge," said Ciolacu, in Parliament, when asked if there will be a decision introducing progressive taxation.

According to him, the matter is fiscal optimization.

"You cannot tell me that Spain, Germany, the Netherlands, the USA, Italy, are all idiots because they have a progressive, modern, adapted taxation system, with deductions, so as to promote services, to develop services in a society and we, the Romanians, are the smartest, but have 27% income in the GDP construction and expenses at 40%. Truly there has to be a discussion with all business members, with all social partners and to start this process over a longer period of time, so that it does not create disruptions in the business environment, and a track sheet for the mid-term. A decision has not been made, but it's normal that any political party, any coalition, any government discuss these things. It's normal in a coalition formed of two large parties - the largest in Romania, PSD [Social Democratic Party] and PNL [National Liberal Party] - for there to be diverging opinions. No new taxes are being introduced," he said.

Marcel Ciolacu mentioned that any decision regarding taxation will be made in the coalition, six months prior to it coming into force, so that it is predictable for the business environment, very possibly starting with January 1, 2023.

"It's possible that this coalition decides to make amendments to the Fiscal Code for the date of January 1, but that does not mean that they must necessarily enter into force. (...) Reality shows us we have 27% income - the lowest incomes in the EU - and we have 40% expenses. (...) These measures we will present after two weeks, when the Finance Minister will come. (...) It's for the first time that a political coalition thinks with a larger perspective than just tomorrow. (...) A fiscal optimization does not mean increasing taxes," the Social Democrat leader emphasized.

The PSD leader also mentioned that the Tuesday session of the coalition focused on the National Recovery and Resilience Plan and the benchmarks Romania has to reach until June in each ministry.

"It was a more restricted coalition. (...) We took each point in turn and discussed it and it seems we are in a straight line with all the benchmarks and on time with the progress so that they're accomplished in the deadlines provided. (...) It was a very applied and very serious discussion, without a decision being made, but we all agreed that we must, for the first time, exit this unwillingness and this dispute and become more visionary," Marcel Ciolacu stated. AGERPRES


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