The new governing program presented by the Mihai Tudose cabinet brings significant changes to the fiscal policies and changes the application terms for previous measures, thus increasing the pressure on the local business environment, according to representatives of the National Council for Private Small and Medium Enterprises in Romania – CNIPMMR.

Replacing the tax on profits with the tax on turnover starting January 1, 2018, will generate major difficulties for new enterprises and for those who make investments, according to the organization, reports local Agerpres. The measure will also make Romanian products less competitive and have a negative impact on exports.

CNIPMMR representatives are also unhappy that the term for adopting the Economic Code has been postponed for July 1, 2018.

The Romanian Business People’s Association – AOAR, another important local business organization, also said that the new measures targeted by the Government create the „sensation of crisis and reflect desperation related to the budget revenue collection.”

AOAR president Florin Pogonaru said on Friday that the increase in the gross minimum wage from RON 1,450 to RON 2,000, which the new Government wants to implement in January 2018, would deal a powerful blow to small companies in Romania’s poorer regions.

AmCham: Announced fiscal changes affect the stability of the Romanian economy

editor@romania-insider.com