RO Constitutional Court defers ruling on special pension taxation

Romania's Constitutional Court (CCR) postponed for November 4 its decision on the law that introduces extra taxes on special pensions higher than RON 7,000, sources from CCR said.

Under the law, the so-called "special pensions," namely those not based on recipients' previous contributions, would be levied an 85% tax rate for the sums that exceed the RON 7,000 (EUR 1,440) threshold.

Cutting the "special pensions" proves to be an impossible mission, legally speaking, but a very lucrative topic for the political parties given the generally low level of the regular pensions in Romania and the early retirement age of those who receive such special pensions (magistrates, military staff, intelligence service staff).

Ombudsman Renate Weber and the High Court of Cassation and Justice both submitted objections to the law.

High Court judges are entitled to special pensions, and so are the Constitutional Court's members.

It is the second postponement of this case, the first debate taking place on July 14.

In a statement for G4Media.ro, Renate Weber explained then that she made this approach to the Court because she considers that the beneficiaries of special pensions are discriminated against.

The Chamber of Deputies passed on June 17, as a decision-making body, the law that provides for the taxation of all special pensions above RON 7,000.

(Photo: Octav Ganea/ Inquam Photos)