On Monday, Ponta also had talks with central bank governor Mugur Isarescu over the VAT cut.
“The impact over the budget is different (…) From the point of view of fiscal administration, the lowering of the standard VAT rate from 24% to 20% is easier to manage than different rates of VAT. The impact is stronger for the standard VAT rate, but there is no significant difference,” Ponta stated.
The PM said the government will decide Tuesday on lowering the standard VAT rate from 24% to 20% or on cutting VAT for basic products from 24% to 9%.
According to official sources, Ponta told PSD members that government plans to lower the standard VAT rate from 24% to 20% as of June.