Romanian Senate Decides To Exempt From Tax Pensions Smaller Than RON1,200

An initial proposition made by liberal lawmakers was to exempt pensions lower than RON2,000 from the 16% income tax.

The proposition was adopted with 41 to 5 votes with an amendment drawn by the parliament committee for budget and finances to reduce the ceiling for pensions exempt from income tax to RON1,200.

Secretary of state Valentin Iliescu said the Government does not uphold the draft law as it will have consequences on the budget.

The government decided recently to keep the ceiling for pensions exempt from income tax at RON1,000, citing budget restraints, although it was considering raising the cap to RON1,500.

The draft law is pending a vote in the Chamber of Deputies.

If you liked this story, please follow MEDIAFAX.RO on FACEBOOK »

The content of mediafax.ro is for your information only. Republishing or using this content is forbidden without express consent of MEDIAFAX. For this consent, please ask for it by mail at vanzari@mediafax.ro.