Romanian Social Democrats draft bill to defer social security contributions and utility bills

Romania’s biggest opposition party, the Social Democrat Party (PSD), has submitted to the Senate a draft law that would allow firms to defer the social security contributions and the utility bills by three months, starting in March, Economica.net reported.

The Liberal Democrats (ALDE) headed by Calin Popescu Tariceanu, Pro Romania of Victor Ponta and PSD, have also signed the draft bill. The three parties hold enough power in the Parliament to pass the bill.

Firms can postpone, upon request, the payment of the contributions by three months and, afterwards, they can pay their dues in installments, in twelve months. The draft mentions the payment of 50% of the deferred amount, it is not clear what will happen to the rest.

During the three months, the Government will make the payments of the social security contributions on the behalf of the companies. The utilities bills are postponed under a similar mechanism, but in this case individuals are also eligible for the facility.

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