New gov’t wants to adopt state budget law by mid-Jan.

The governing programme of the new cabinet contains a set of measures meant to ensure the re-start and growth of the economy, among which the urgent adoption of the 2010 State Budget Law by mid-January, in an extraordinary session of Parliament, Prime Minister designate Emil Boc said in an address to a joint sitting of the legislature on Wednesday, in which he unveiled the priorities of his new government.

Other measures are aimed at maintaining the same level of the flat tax rate and of the value added tax during the entire tenure of the executive, the further non-taxation of re-invested profit, a cut in the number of taxes and duties, cutting red-tape, an enhanced absorption of the European funds, re¬thinking the minimum tax and the restructuring of the First House Programme, the use of the governmental guarantees for other sectors of the national economy and meeting the commitments made to the International Monetary Fund, the European Union and the World Bank.

‘I believe the minimum tax has reached its target of discouraging tax fraud. Such tax should be re-thought from 2010 and re-directed to such areas as public food services (restaurants) or the hotel industry, where tax evasion is more difficult to control. The First House Programme should be restructured, in order to be able to further back the construction sector and to offer the various social brackets the possibility to have access to a home’, Boc explained.


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