Sorin Grindeanu supports progressive taxation and accuses VAT deduction abuses

Sorin Grindeanu stressed that progressive taxation is the right approach for a social democratic party and that the PSD, even though it is in a coalition with right-wing parties, maintains its position.

„A social democratic party can never afford to abandon a fiscal policy of this kind, never. At the moment, we are part of a coalition with right-wing parties, which do not currently accept what we believe to be the correct way to bear the fiscal burden,” Grindeanu said on Monday at a press conference.

The Social Democratic leader also drew attention to issues related to VAT collection. Regarding the third package of fiscal measures, Grindeanu said he intends to introduce a regulation to help improve the collection of Value Added Tax.

„Part of this third package will be a regulation regarding VAT deductibility. At present, there are many facilities in Romania through which you can deduct VAT,” said Grindeanu.

Sorin Grindeanu supports progressive taxation and accuses VAT deduction abuses

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He gave as an example the purchase of clothing or animal feed made by companies, practices that affect the level of budget revenues. He cited the example of the Băneasa Mall: „I am almost convinced that around 40% of clothing purchases are made by companies. This is not right. These are things that can be seen in VAT revenues. Dog food purchased by companies,” explains the interim president of the PSD.