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    BUCHAREST, (23 aug 2010)

    Romanian Senate's Budget, Finance Committee Rejects VAT Hike To 24%

    Romanian Senate’s budget and finance committee Monday debated on Government emergency ordinance 58/2010 amending the Fiscal Code and rejected with six to four votes the increase by 5 percentage points of the value added tax, from 19% to 24%.

    Romanian Senate's Budget, Finance Committee Rejects VAT Kike To 24%

    Romanian Finance Minister Sebastian Vladescu, who attended debates in the budget and finance committee, said he disagrees with the amendments approved by the committee, including with that on keeping the VAT unchanged.

    The minister said the committee also adopted an amendment which sets at 5% the VAT level applied to the construction sector and to bread, milk, meat, eggs, sugar and flour, and an amendment eliminating the minimum tax. Vladescu said he agreed only with the latter amendment.

    The committee also adopted a favorable report on the Government emergency ordinance amending the local public finance law and brought several amendments to the law.

    The budget and finance committee's reports on the two emergency decrees will be debated and voted on Tuesday in the Senate.



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