President Klaus Iohannis has motivated his decision not to endorse
\nthe new Fiscal Code by saying that the measures of fiscal relaxation it
\nprovides for will significantly impact the budget structure. The new Fiscal
\nCode should promote policies leading neither to excessive taxation nor to
\nincreased relaxation, president Iohannis said, in line with the serious
\nreservation expressed earlier by the European Commission. <\/p>\n
<\/p>\n
\n
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\n
\n
\n
<\/p>\n
The European body has cautioned over the risk that, without measures
\nto significantly improve the collection of taxes and duties, a cut in these
\ntaxes, particularly in the VAT, might lead to an excessive deficit, which could
\nrun against both the European regulations in this field and the agreements
\nRomania signed with the IMF as part of the latest precautionary loan accord.
\nThe president’s decision sparked heated reactions from the ruling coalition.
\nPrime Minister Victor Ponta described the president’s decision as running
\nagainst national interest. <\/p>\n
<\/p>\n
\n
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\n
\n
\n
<\/p>\n
The Social-Democrats, number one in the government, have lashed out
\nat the main opposition party, the National Liberals, whom they have accused of
\nexcessive politicizing. Rovana Plumb, who is the interim chairman of the Social
\nDemocrats after Victor Ponta stepped down from this position due to his being
\nunder criminal investigation, said that:<\/p>\n
<\/p>\n
\n
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Rovana Plumb: From my point of view we are seeing a huge
\npolitical charade. It’s an incredible insolence of political partisanship on
\nthe part the new National Liberal Party, which is reneging on its own vote in
\nParliament. Now they don’t admit they have taken part in all the consultations
\nand debates in the expert committees over this document, nor do they recognize
\ntheir contribution to this Fiscal Code or their endorsement of it. <\/p>\n
<\/p>\n
\n
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\n
<\/p>\n
The Liberals in turn recalled that, in
\nspite of the yes vote in Parliament to a fiscal code which was supposed to be
\nbusiness-friendly, they have always voiced doubt regarding the sustainability
\nof the envisaged tax cuts. Stung by the harsh tone of the Social-Democrat
\nchairwoman, Alina Gorghiu, co-chair of the National Liberal Party, has suggested
\nthat Rovana Plumb should not copy the Prime Minister’s stylistic discourse, but
\nhave a more elegant one. On the other hand, the Liberals are backing the
\nalternative of a special Parliament session entirely devoted to reassessing the
\nnew Fiscal Code, and are vehemently rejecting the idea that the government
\nshould assume responsibility for the bill. <\/p>\n
<\/p>\n
\n
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<\/p>\n
Alina Gorghiu: It would be tantamount to mocking the Romanian
\npeople, the business environment in Romania, to assume responsibility for a
\nprojection, when you no longer have the consensus of political forces. Why?
\nBecause you fail to ensure legislative stability on medium and long term. <\/p>\n
<\/p>\n
\n
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\n
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<\/p>\n
What was supposed to be a debate on
\npolicy issues slid into domestic politics as usual, fraught with impassioned discourse
\nand arguable political stances. <\/p>\n
\n
<\/p>\n","protected":false},"excerpt":{"rendered":"
The decision by president Klaus Iohannis to reject the new Fiscal Code and send it back to Parliament for debate has sparked discontent in the ranks of the left-wing government in Bucharest<\/p>\n","protected":false},"author":110,"featured_media":63918,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[37738],"tags":[31012,29189,29125,28957],"coauthors":[],"class_list":["post-64786","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-today-in-the-news","tag-alina-gorghiu","tag-fiscal-code","tag-iohannis","tag-rovana-plumb"],"acf":[],"yoast_head":"\n