Romania published WB's report on Improving the Tax Framework, including recommendations
The World Bank recommends to the Romanian government a complete reform of fiscal policy, according to a report drafted by the World Bank with financing under the National Recovery and Resilience Plan (PNRR) and published in full on the website of the Ministry of Finance.
Thus, the World Bank's team of economists proposes adopting the progressive income tax and giving up the income tax exemption for employees in IT, construction and agriculture, according to Ziarul Financiar. The recommendations detailed in the 106-page report are, however, more nuanced.
At the same time, the WB proposes Romania increase the tax on dividends to 10%, from 8% at present, as well as lower the threshold used for the definition of the micro-enterprises (subject to simplified taxation abused by large businesses).
World Bank representatives say that significant improvements in tax administration are also needed in Romania.
iulian@romania-insider.com
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