Expert-Grup

Ways to improve tax fairness and the resilience of individuals: Expert-Grup proposals in the context of reviewing the draft law amending tax and customs policy

Politici de creștere economicăFinanțe publiceMonday, 5 June 20234202 views

Automatically translated summary. The full text is available in Romanian.

The Independent Think Tank “Expert-Grup” reviewed the draft law amending tax and customs policy that was submitted for public consultation on 22.05.2023. It welcomes the aims of strengthening individuals’ resilience and combating envelope wages, and puts forward proposals to make the tax system fairer and more inclusive.

Expert-Grup proposes unifying income tax rates on investment income, including municipal bonds issued so far by Sîngera, Ceadîr-Lunga and Chișinău. It asks for clarity on customs valuation of imported used cars and suggests replacing excise duty with an environmental tax reflecting vehicle age and condition. It also argues that the road-use tax should reflect impact on roads: an owner of a 2500 cm³ car pays MDL 2,250, the same as the owner of a 10-tonne semi-trailer.

It recommends adding the automated wage-increase subsidy mechanism (MASCS), which reimburses tax costs for employers raising salaries by at least 50%, and warns that derogating from statistical data confidentiality contradicts European statistics standards and could hinder EU accession. Finally, it proposes amending Government Decisions 693/2018, 1413/2016 and 49/2021 to index transport deductions, make adaptation costs deductible, differentiate transport compensation and extend wage subsidies for employing people with disabilities. The commentary was supported by NED.