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Finance Ministry plans to simplify taxation

Minister of Public Finance Gheorghe Pogea examines 'a dramatic simplification of taxation', announced on Sunday, on a TV channel, Economy Minister Adriean Videanu.

'We face difficulties both in the fiscal policy field, and fiscal administration and we plan to focus on remedies. Of the 500 taxes, 470 generate just 5 percent as of the budget revenues. Should we keep them further? Given their administration costs?, asked Videanu.

He pointed out that the National Sanitary-Veterinary Agency has 67 tariffs and the Environment Ministry 143.

'They do not enter taxation field, but are those tariffs various agencies establish to get own revenues, which they fail to report and use for bonuses and imported vehicles. Normally, and I found out from Minister Pogea that this is his intention, that every tax and duty which is paid in this country must go to the consolidated budget and as such can be counted and managed', said Minister of Economy.

On the other hand, according to Videanu, the authorities take into account the cancellation of the 2-percent cut in the social contributions (measure applied since December 1, 2008).

'In a situation of crisis, under conditions in which you must sustain the social insurance budget, under conditions in which we draw amounts from the state budget to that end, it would not be fair to cut the social contributions, given the crisis situation. I am not in favor of the idea that every tax increase means added money to the budget. And we are aware of that since 1998, when we increased VAT from 18 to 22 percent and the revenues dropped. Here we must find a solution, because not always what we collect to the state budget is the product between the taxation rate and the taxation basis. We must enlarge the taxation basis and institute an adequate fiscal control', Minister of Economy also said.

 

Sursa: http://www.rompress.ro

Tags: budget minister taxation

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