“I have heard proposals for very strange measures as a logic. Something is not linked …”, says the head of the tax consultants

“In 2024, tax revenues increased by about 17%, which seems to me significant, considering that I had an economic growth of 0.9%and an inflation of a single figure. It is clear that that income increase comes from the fiscal measures, only that in the area of ​​expenses, salaries and expenses of social assistance, the chief of the social assistance. Dan Manolescu, at the conference “Tax retrospective of 2024 and medium and long term fiscal changes – their impact on the business environment”

In the revenue area I still had adjustments. Only that all the income increases generated by these measures have been overcome by the expense increases, he says.

According to the CCF official, income from taxes and social contributions over the first three months of this year are equal to the expenses with salaries plus pensions plus interest. “Basically we have come to spend all the money that we raise from taxes and contributions only on salaries, pensions and interest. Which interest grows and they are not very under our control, because they are related to the market conditions,” believes Manolescu

As such, Romania has to do some things quickly, and all these discussions we see in the political area do not think it helps us very much, because it shows more a lack of understanding of the moment, which might sanction it, believes Dan Manolescu.

The same thing to say the head of the Fiscal Council, Daniel Dăianu, a few days ago, insisting on the urgency of the reform package. “We have to cut this budget deficit and we have no time! The financial markets are no longer patient with Romania. You can not come with such a package in front of investors, in front of the rating agencies and in front of the European Commission. However, with the Commission we have a pretty fractured dialogue and this must be said publicly!”, Said Dăianu.

Dan Manolescu also speaks of measures that have reached his ears and which are “very strange as logic”: “I heard about an increase in profit tax from 16% to 19% and the taxation of dividends from 10% to 16%. OK, I understood that the reduction of taxes that targeted the capital-which started in 2016, that one system in 5%. Very favorable.

Basically, on the current model, for those who can still have micro -enterprises the taxation is double as it was then, and for everyone else, the quotas have increased four times. “We discuss 16% profit tax plus 10% on dividends. There are a total of 26%, Grosso Modo. When we talk about 16% in dividends, with 19% profit tax we reach 35% which means six times as before. I do not know other taxes in Romania that have increased for 6 years in these 3 years. Great.

Something is not linked as a logic, adds Dan Manolescu: “If a half year ago I introduced the tax on turnover on the grounds that in fact no profit tax is paid at 16%, why do we think that at 19% the world will be crowded?”, He asks.

In addition, such a measure does not produce money in 2025, and we need money this year.

Probably the solutions are in the area of ​​indirect taxes rather, that is, VAT and excise duties, believes the fiscal. The list of new measures must appear as soon as possible, because as time goes by, the months that remain from the year is less and then the opportunity to collect some additional money this year decreases, concludes Manolescu