Exactly how many taxes are there?
The legislation in effect in Romania since January 1, 2003 sets no less than 225 budgetary obligations to be paid by taxpayers in form of taxes, duties, contributions to special funds and tariffs, according to the count of the National Council for Small and Medium-Sized Enterprises in Romania (CNIPMMR)
The legislation in effect in Romania since January 1, 2003 sets no less than 225 budgetary obligations to be paid by taxpayers in form of taxes, duties, contributions to special funds and tariffs, according to the count of the National Council for Small and Medium-Sized Enterprises in Romania (CNIPMMR).
On the other hand, Finance minister Mihai Tanasescu claims there are only 36 main taxes and duties in Romania, accounting for 95% of the total taxation level, which is by no means higher than in other neighbouring countries, but even lower in some cases.
“Romania has the most burdensome taxation system in the entire Europe at the moment. If adding the amounts paid as local taxes and duties, as well as those paid as duties and tariffs, managed by public and private institutions as extra-budgetary revenues, taxation accounts for more than 45% of GDP,” Ovidiu Nicolescu, CNIPMMR chairman said. As for the 225 budgetary obligations, Nicolescu says, “they are too difficult to remember, let alone pay.”
“Romania now has 36 main taxes and duties. These are direct taxes (such as the income tax), which amount to eleven, and indirect taxes (such as the customs duties and VAT), which amount to 25,” Tanasescu said.
Ziarul Financiar counted 19 taxes and duties a company has to pay to the state budget alone. As for individuals, they have to pay 14 such obligations. All this in addition to the contributions to the special funds, the elimination of which has been promised for quite a while now, which amount to five for economic operators, and three for individuals. There are also the local taxes and duties to be considered, left to the local authorities’ imagination to set. The local authorities have already concocted all sorts of ingenious taxes so far.
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