Fiscal Council: Romania will have the lowest tax income in 20 years

Romania’s revenues from taxes will drop to 25.4% of the GDP in 2017, the lowest level in the last 20 years, after the tax cuts adopted in the new Fiscal Code enter into force starting January 1, said the Fiscal Council president Ionut Dumitru. European countries collect taxes representing, on average, 40% of their GDPs. Dumitru explained that all the political parties promise massive tax cuts, especially before elections, and taxpayers are happy to get these cuts so they pay less taxes and fees, reports local Agerpres. He added that if Romania continues with this approach, “we’re on the safe way to the state’s dissolution”, because a state with low revenues can’t survive. Romania will have the lowest tax revenues in the EU next year, except for Ireland, Dumitru said. editor@romania-insider.com