Romania’s New Ministers To Be Sworn In Tuesday
Romania’s new deputy prime minister, transport minister and minister in charge of EU funds will be sworn into office Tuesday evening after President Klaus Iohannis signed the decrees relieving Sevil Shhaideh, Razvan Cuc and Rovana Plumb of their duties.
Paul Stanescu will thus replace Sevil Shhaideh as deputy prime minister and development minister, Felix Stroe will replace Razvan Cuc as transport minister and Marius Nica will replace Rovana Plumb as minister in charge of European Union funds.
Romanian Prime Minister announced a Cabinet reshuffle last week, seeking to replace ministers facing corruption charges. (puterea.ro)
Romania’s Split VAT System Full Of Flaws
The Treasury is not ready to implement the separate payment accounts for the value-added tax, the adjustment of IT systems and cash-in and payment processes take time and the procedure for the withdrawal of amounts from VAT accounts was adopted late.
The split VAT system is far from being perfect, but it is currently in effect. Talks are being held to amend the system, as to apply it only for entities facing insolvency, bankruptcy or with an “incoherent fiscal past”.
Romania’s government adopted a decree making separate payment accounts for the value-added tax mandatory as of January 1, 2018. Companies may implement the measure voluntarily starting October. The move, which the government said it would introduce to curb tax evasion, was criticized by businesses and financial analysts as excessive and hasty. (cotidianul.ro)
Labor Minister Talks About Pension Law
Labor Minister Lia Olguta Vasilescu talks again about the pension law and about the announcement made by social democrat head Liviu Dragnea, according to which the pension law will no longer be implemented in 2018, but in 2019.
The minister said that starting 2018, the pension point, which is RON1,100 as of July 1, 2018, will be applied according to the governing program. She also said each pension will be recalculated in 2019, adding it does not mean Romanians’ pensions will not be raised in 2018. (puterea.ro)
Finance Ministry Says There Is No Bill Taxing Tips
The Finance Ministry is not currently working on a bill taxing tips and the fiscal system regarding these amounts of money cashed by natural persons has already been regulated. The respective amounts are deemed revenue from other sources.
An emergency ordinance which included a provision as regards taxing tips by 16% was adopted in 2015, when Eugen Teorodovici was Finance minister. Subsequently, the Parliament cancelled the measure. (romanialibera.ro)