Flat Tax To Be Eliminated As Of 2018
Sorin Grindeanu government plans to eliminate, as of January, 2018, the 16% flat tax currently paid by all Romanian employees, irrespective of their salary.
According to PSD-ALDE governing program, the 16% tax for salaries below RON2,000 will be eliminated, while employees with salaries higher than RON2,000 will pay a 10% tax, only for the amount exceeding RON2,000, as of January 1, 2018.
Nevertheless, the issue caused certain tensions in the governing coalition after ALDE deputy PM Daniel Constantin revealed that they had discussed the implementation of a progressive tax of 8%, 12% and 16% for salaries, as of 2018. (Evenimentul Zilei)
New Apartment Demand Seen Up After First Home Program Amendments
As of January 1, 2017, the state guarantee for the government-guaranteed mortgage lending First Home program will be reduced from 50% to 40% for apartments older than 5 years and will remain at 50% for homes built in the last five years or consolidated in the last 5 years.
Thus, real estate consultants expect the demand for the new apartments to increase following the amendments, a trend which will also mirror the prices.
“A growth trend for the demand of new apartments is possible and even expected, following the differentiation in the guarantees granted for First Home program – new apartments vs. old apartments,“ said Razvan Cuc, Re/Max Romania president, according to Imobiliare.ro portal. (Adevarul)
Environment Tax Can Only Be Recovered In Court For The Moment
The law stipulating the elimination of 102 non-fiscal taxes has recalled the administrative procedure for the return of the environment tax, previously paid when registering a vehicle.
Thus, after the elimination of the environment tax, car owners who paid this tax can no longer get their money back, as the law stipulating the elimination of 102 non-fiscal taxes has recalled government ordinance which stipulated that the environment tax would be paid back in five years, 20% per annum. Thus, until new stipulations, the environment tax would only be recovered in court.
Romanian President Klaus Iohannis has recently signed into law the bill stipulating the elimination of 102 non-fiscal taxes, which include the radio-TV tax, the environment tax, as well as certain consular taxes, Trade Registry taxes, ID taxes, and others. (Evenimentul Zilei)
Free Rail Transport For University Students In Romania
University students in Romania will benefit from free rail transport, also during vacations, and irrespective of the railway operator, according to a government emergency ordinance on fiscal-budget measures, recently published in the Official Gazette.
On Wednesday, Transport Minister, Razvan Cuc, and Public Consultations Minister, Gabriel Petrea, together with the representatives of passenger railway carrier CFR Calatori and Bucharest subway transport operator Metrorex, participated in a meeting with the representatives of students’ organizations, for talks related to the free rail transport for students.
According to the emergency ordinance, full-time students of all Romanian accredited higher education institutions will benefit from free rail transport. (Puterea)
Avian Flu Confirmed In Loloiasca Village, Prahova County
The Institute for Diagnosis and Animal Health Bucharest on Wednesday confirmed an avian flu outbreak at a farm in Loloiasca village, Prahova county.
According to the Sanitary Veterinary Direction Prahova, the Institute for Diagnosis and Animal Health Bucharest confirmed Wednesday that the H5N8 avian flu strain was discovered in Loloiasca village, Prahova county. Thus, authorities ordered measures to hinder the spreading of the virus. (Puterea)