August 13, 2022

South Sudan News Agency

Complete English News World

Romania has started cutting corners –

In mid-July, the government amended the tax code with an emergency decree by canceling certain types of taxes and tax incentives to increase the revenue of public funds. Some of the measures will come into effect from January 1, 2023, but another part will already come into effect from August 1. As a result, the government increased excise duty on tobacco products and alcoholic beverages and scrapped the 9 percent VAT rate on sugar-sweetened beverages to 19 percent.

The taxation of part-time employees is a significant change because employers must pay the employee’s pension and health insurance contributions not in proportion to hours worked, but on the full minimum wage. The Roman government According to the measure, this move is justified because in many cases part-time workers are employed on paper for the purpose of tax evasion, when they are actually working full-time. At the same time, according to entrepreneurs, this move will increase undeclared jobs.

As for the tax relief for those working in the construction industry and agriculture, the income threshold for which they enjoy tax exemption has been reduced by a third to 10,000 lei.

From January 1, tax hikes will come into effect affecting the activities of micro-enterprises and individual companies, and tax incentives for the hospitality sector will be cancelled.