Ascultă Radio România Actualitaţi Live

Fiscal and financial measures

New fiscal and financial measures are taking effect on October 1st in Romania.

Fiscal and financial measures
PM Victor Ponta. Photo: rri.ro.

Articol de Radio România Internaţional, 02 Octombrie 2014, 14:00

The reduction of social security contributions paid by employers; the fact that a number of social categories are no longer obliged to return additional funds received as a result of an accounting error and the amendment of the budget - these are some of the measures coming into force on October 1st.

Employers have been looking forward to the 5% reduction in social security contributions for at least 5 years, but while it is welcomed by the business community, it has also generated anxiety.

Some investors fear the measure may lead to further increases in taxes and fees or the introduction of new taxes next year.

Also, according to the secretary general of the Association of Businesspeople in Romania, Cristian Parvan, there is no guarantee that this measure will generate more jobs.

“It will be different from one company to another, given that the business environment has faced increasing costs this year as a result of an increase in the price of energy, gas and fuel”, Cristian Parvan said.

The measure has also been criticised for political considerations.

The coalition government, in particular the Social Democratic Party, which is its largest member, has been accused of trying to score some electoral points head of the presidential elections, as the Social Democrats’ leader and prime minister Victor Ponta is himself running for president.

Another measure coming into force on October 1st stipulates that around 30,000 Romanian pensioners and 12,000 women with children will no longer have to return money they had received because of an accounting error.

Despite the fact that this will cost the state around 70 million lei, the government insists the state budget will not be affected.

“For the first time in many years, budget returns in the first nine months of the year are higher than first estimated when the budget was drafted. The Romanian people have worked hard, honest companies have paid their taxes and fees and fiscal evasion has decreased, so that all estimated resources are now available, and we even have additional resources”, the PM said after amending the state budget for the second time this year.

Following the recent budget amendment, which has been criticised by the centre-right opposition, additional funds have been allocated to the ministries of labour and development and the local authorities.

Students in Bacau protested against cuts to school scholarship funds
News in English 11 Iulie 2025, 21:05

Students in Bacau protested against cuts to school scholarship funds

A protest took place in the center of Bacau, with several dozen students expressing their dissatisfaction with the...

Students in Bacau protested against cuts to school scholarship funds
Romanians criticize the fiscal measures taken by the Bolojan government
News in English 11 Iulie 2025, 21:04

Romanians criticize the fiscal measures taken by the Bolojan government

The economic measures taken by the government led by Ilie Bolojan are considered unjustified and unnecessary by 35% of...

Romanians criticize the fiscal measures taken by the Bolojan government
The motion of censure initiated by AUR, presented in the plenary session of Parliament
News in English 10 Iulie 2025, 15:56

The motion of censure initiated by AUR, presented in the plenary session of Parliament

The motion of censure filed by AUR parliamentarians against the executive, entitled "They ruined the country and now...

The motion of censure initiated by AUR, presented in the plenary session of Parliament
Two Ukrainians who arrived in the Maramures Mountains requested assistance from Romanian authorities
News in English 10 Iulie 2025, 15:55

Two Ukrainians who arrived in the Maramures Mountains requested assistance from Romanian authorities

Two Ukrainian citizens, who crossed the border into Romania through the Maramures Mountains, requested assistance from...

Two Ukrainians who arrived in the Maramures Mountains requested assistance from Romanian authorities
AUR has gathered the necessary number of signatures to submit a motion of no confidence
News in English 09 Iulie 2025, 18:33

AUR has gathered the necessary number of signatures to submit a motion of no confidence

AUR representatives announce that they have managed to gather the necessary number of signatures to submit a motion of no...

AUR has gathered the necessary number of signatures to submit a motion of no confidence
Prime Minister asks publicly funded institutions to reduce foreign travel
News in English 09 Iulie 2025, 18:31

Prime Minister asks publicly funded institutions to reduce foreign travel

Prime Minister Ilie Bolojan has asked ministries and subordinate institutions to reduce foreign travel in order to make the...

Prime Minister asks publicly funded institutions to reduce foreign travel
Parliament plenary session rescheduled for 5 p.m.
News in English 07 Iulie 2025, 17:15

Parliament plenary session rescheduled for 5 p.m.

The plenary session of the Senate and Chamber of Deputies scheduled for this afternoon was postponed and set to begin at 5...

Parliament plenary session rescheduled for 5 p.m.
AUR announced that it will table a motion of no confidence
News in English 07 Iulie 2025, 17:13

AUR announced that it will table a motion of no confidence

The Alliance for the Union of Romanians has already announced that it has initiated such a move and that it will table a...

AUR announced that it will table a motion of no confidence