Romanian Social Democrat leader Marcel Ciolacu explained that progressive taxation of property, and progressive taxation in general, is a social-democratic approach, implying that his party will sooner or later have to go ahead with this approach.

He stated that direct property taxation brings 2% of GDP to the budget in Romania, compared to 4.6% in European Union, without explaining how this supports the idea of progressive property taxation, local Agerpres reported.

The Liberals (PNL) will just have to accept this - not because they are the junior partner in the coalition, but because other liberal parties in Europe have already accepted this, the Social Democrat leader explained.

The so-called “flat tax rate” is not in the Liberal doctrine, Ciolacu stressed. It’s still in use in only three other European countries, ”one of them of the size of Bucharest, therefore not that much economically developed,” he furthered.

In fact, the Liberals will have to accept the Social Democrats’ proposal for progressive taxation - if such a bill will be drafted - if not because it is not against the Liberal doctrine, then because otherwise their plunging electoral score will drop even more. 

andrei@romania-insider.com

(Photo source: Facebook/Marcel Ciolacu)