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    BUCHAREST, (9 feb 2010)

    Romanian VAT Rate Could Increase To 20%-21% In 2010 - PwC

    Romanian authorities could increase the value added tax rate to 20% or even 21% in 2010 from 19% currently, an official of tax and advisory firm PricewaterhouseCoopers (PwC) said Tuesday.

    Romanian VAT Rate Could Increase To 20%-21% In 2010 - PwC

    Speaking in a press conference, PwC's partner Peter de Ruiter said the tax hike's impact on the state budget would be "huge." The budget revenues would grow as soon as the measure is enacted, while the negative effects in the business environment would be on the short-term only, he added.

    On the long term, the measure would only have positive effects, because the public will get used to the new tax.

    He added that most of the Central and Eastern European countries have a VAT rate around 20%.



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