Boc: Lump sum tax not introduced as over-taxation measure

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The lump sum tax has not been introduced as an over¬taxation measure, but as measure likely to combat fiscal evasion, PM Emil Boc said Tuesday, when he gave assurances that the implications of this new tax will be closely monitored.

„We now have a budget projection that allows us to support the budget deficit, jobs and investment. We will see how economy goes and analyse, at the Finance Ministry headquarters, the impact of the lump sum tax,” Boc explained.

He underscored the VAT has not been modified, nor has the contribution to social insurance, which are the lowest in Europe.

„We must keep the deficit because the others (the previous government, edťs note) have led it to disaster. Would you have us change the flat tax? All investors would run out of the country.

The domestic ones would have stopped investing and the foreign ones would have not come,” Boc said. PM Boc and Transport Minister Radu Berceanu on Tuesday visited the work site of the Bucharest¬Ploiesti motorway.

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