“The new Tax Code is the result of a sustained effort by the business environment in Romania and authorities throughout the past two years. We believe the bill adopted by Parliament a month ago is a considerable improvement to tax legislation in Romania, bringing more clarity and predictability of fiscal policies on the medium and long term,” the Foreign Investors Council said in a press release Tuesday.
Investors welcome plans to lower the tax burden, which would help the country’s competitiveness in the region but also call for discipline in state budget planning to avoid macroeconomic imbalances that would require future fiscal adjustments.
President Klaus Iohannis has not signed the Tax Code bill into law and sent it back to Parliament for reexamination, calling for a more detailed analysis of the impact the proposed tax cuts would have on the state budget.