Labour cost: steepest and largest increase in the EU. And mostly concentrated on non-business sector
Romania recorded in the first quarter of 2018 the highest labour cost increase among all EU member states, according to data released by Eurostat. With… Mai mult›
Company financing: Firms’ aversion to credit – at high levels. Most favourite banking product – account overdraft
The rise in interest rates and fees is becoming increasingly worrying for companies and maintains companies’ aversion to banking lending at high levels, according to… Mai mult›
“Everything in One Hand” project continues: Law which pushes Court of Auditors beneath Administration’s feet – adopted
The Senate adopted on Thursday the draft amending Law 94/1992 on the organization and functioning of the Court of Auditors, which contains amendments that could… Mai mult›
Government is hardly competing with private economy on banks’ money. Which are satisfied: less work, lower risks
The volume of government credit has increased about 10 times over the last 10 years, and the share in total banking investment in Romania… Mai mult›
Draft / Employers who do not pay employees’ contributions to state budget are at risk of up to 6 years of imprisonment
de Vladimir Ionescu , 11.12.2017
The intentional non-payment of taxes and contributions due to the budget, subject to the withholding regime, will be considered a tax evasion, according to a draft emergency ordinance that is under the public debate on the website of the Ministry of Finance.
This act will be punished by imprisonment from one to six years.
The document criminalizes, as an act of tax evasion, the failure to retain and collect, the withholding and failure to pay, respectively, the collection and failure to pay taxes and contributions, in whole or in part, intentionally, within maximum 30 days from the due date established by law.
The draft introduces the circumstance related to the criminalization of the withholding and non-payment for persons who had the financial resource needed for the payment but used the money collected or withheld for the paying other debts than those established by law.
To ensure the predictability of the criminality rule, 32 categories of taxes and contributions subject to the withholding or collection and the payment regime have been introduced in the Annex to the draft ordinance, specifying the legislation and the articles that regulate them, including:
- income tax on wages and salaries
- income tax on pensions
- income tax on intellectual property rights
- income tax on rural lease
- tax on interest and dividend
- tax on income from prizes and gambling
- social security contribution payable by individuals who earn wages and income assimilated to salaries
- social health insurance contribution payable by individuals who earn wages and income assimilated to salaries
The text incriminating this act (article 6 of the Law on evasion) has been declared unconstitutional by a CCR decision in 2015 on the grounds that the provision in question does not comply with constitutional requirements regarding the quality of the law, namely it does not meet the requirements of clarity, precision, predictability and accessibility.Since then, though, the wording has not been changed, so these facts have been decriminalised.
Mihai Tudose government does that in the context of transferring social contributions to the employee, and invoking several reasons, among which:
- the need to reform public social systems in Romania, to increase the revenue collection to the state social insurance budget and make employers accountable for the timely payment of mandatory social contributions that both they and employees owe
- the need to make employers accountable for the timely payment of the mandatory social contributions, given that by reforming public social systems in Romania through the Government Emergency Ordinance 79/2017 amending and supplementing Law 227/2015 on the Tax Code, the tax burden of the social security contribution and the social health insurance contribution has been entirely transferred to the employee, and the employer will continue to establish, withhold, declare and pay the due obligations.
Lăsați un comentariu
Fitch confirms Romania's rating at BBB- but warns: fiscal loosening is risky for macroeconomic stability
Fitch Ratings confirmed on Friday Romania's rating for long-term foreign and local currency debt at BBB-, with a stable outlook, but warned that fiscal loosening… Mai mult›
Finance Minister Eugen Teodorovici said at a press conference held in Bistrita that "a mechanism of this type is in progress”, a mechanism on tax… Mai mult›
AOAR - Economy against new Criminal Code: businessmen denounce excessive protection provided to officials who cause damages to economy
The Businessmen’s Association of Romania (AOAR) asks the ruling coalition to explain the mechanism by which, after changes introduced on Wednesday in the Criminal Code,… Mai mult›
Number of insolvencies increased by 12% in first five months. Suspended activities - plus 31%, dissolutions - plus 59%
The increase in the number of companies and PFAs in insolvency was 11.97% in the first five months of this year, compared to the same… Mai mult›
The investment needs in Romania's transport infrastructure exceed EUR 70 billion, while the available resources by 2030 are EUR 36 billion, according to the Transport… Mai mult›
Liviu Dragnea announces a dictatorship through ordinances: "Correct procedural approach through Parliament is wrong, from the law on investment fund to laws on the judiciary. We will be firmer and more radical"
"We decided to be much firmer and more radical. My way of having a correct procedural approach in the Parliament proved wrong. In the Parliament,… Mai mult›
Deputies adopted a draft law on Wednesday whereby entitlement to social assistance ceases when a job is refused. The decision, Agerpres announced, was taken with… Mai mult›
The National Agency for Employment (ANOFM) grants subsidies of RON 900/month to employers who employ graduates of educational institutions, with contracts of indefinite duration, within… Mai mult›
C.P. Tariceanu, before the heads of Senates from EU: The European Commission has encouraged the parallel state, in Romania it is like in the 50's
Calin Popescu Tariceanu (foto) delivered a very tough speech on Friday, in the Senate, addressed to the European Commission, which he accused of encouraging the… Mai mult›
The National Bank of Romania (BNR) sent to banks for consultation a draft amending Regulation 17/2012, which provides for a consistent lowering of the indebtedness… Mai mult›
Senators adopted on Wednesday the draft for amending the Code of Criminal Procedure, by 74 votes for to 28, against. The bill goes to the… Mai mult›
RBL: Workforce crisis is worse than economic crisis - 3.4 million Romanians have left the country in last 10 years
Migration is one of the most serious problems facing Romania at this time, along with the lack of infrastructure. However, the return of Romanians to… Mai mult›
Romania's economy could grow by 5.1% in 2018, according to the World Bank summer forecast. The estimate has been improved by 0.6 percentage points above… Mai mult›
Ministry of Energy: Natural gas from Black Sea will be exported through Onesti - Isaccea - Negru Voda network
The Ministry of Energy issued for Transgaz the construction permit for the consolidation of the transport system between Onesti (Bacau) and Isaccea (Tulcea) and for… Mai mult›