Romanian SMEs criticise Govt.’s plans for fiscal amnesty

The representatives of the small and medium-sized enterprises in Romania disagree with the Government’s plans to cut the penalties and interest, or restructure the debt under a de facto fiscal amnesty, claiming that this move is rather aimed at state-owned enterprises that pay high wages to top management appointed on preferential grounds.

More than 80% of respondents to a poll conducted by the National Council of Private Small and Medium Enterprises in Romania (CNIPMMR) oppose generalized tax amnesty, Wall-street.ro reported.

CNIPMMR head Florin Jianu stressed that it remains unclear who asked for such an amnesty and what problem does it addresses particularly given the economic growth that rather creates opportunities and affordable financial resources for companies.

Jianu asked the Government to honestly admit there is a problem in the state-owned companies and, if in line with the state aid policies, help those companies but not claim to settle the problems of small and medium-sized enterprises.

Last week, finance minister Eugen Teodorovici came up with more details related to the planned fiscal amnesty. The Government considers two scenarios to reduce the arrears, depending on the amount of outstanding budgetary obligations at December 31, 2018. Small debtors, with overdue payments to the state of up to RON 1 million (EUR 210,000) will be waived the interest and penalties accumulated (therefore will have the option of paying only the principal). Meanwhile, large debtors will have to restructure their debt to the state out of which up to 50% could be cut.

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