The project regarding the tax on special constructions, as launched in decisional transparency, assumes that this tax becomes permanent, which would mean a permanent penalty for investment projects, said the general director of the Energy Employers’ Federation (FPE), Daniel Apostol, quoted by Agerpres.

“Romania needs economic development, and this can only be achieved with major investments. The state must encourage the realization of investments. But the tax on special constructions is a taxation of investments, it is a fiscal burden that will significantly discourage investments in strategic sectors of national interest, will reduce jobs and will bring uncertainties regarding the final prices borne by consumers. This tax will significantly affect taxpayers who have invested a lot and in the long term (given that the tax is directly proportional to the value of the investments made). We understand the need for the state to make efforts to reduce the budget deficit, which is at alarming levels, we request and have requested the limitation in time of the application of the tax on special constructions. As the project launched in transparency is, it assumes that this tax becomes permanent. Which would mean a permanent penalty for investment projects,” explained Daniel Apostol.

He stressed that the Ministry of Finance took into account some of the FPE’s observations and accepted that this tax be calculated at the net book value of the constructions, which would reduce the fiscal burden that the state wants to impose.

“However, preliminary independent calculations show that the tax on special constructions is not an efficient fiscal measure and does not address the structural problems of the budget, since this tax has a marginal effect on state revenues, but a significant negative impact on the economy and may discourage investments, thus affecting Romania’s economic competitiveness,” the FPE director general pointed out.

The Ministry of Finance launched in public debate, at the end of last week, the draft GEO for the amendment and completion of Title X of Law no. 227/2015 on the Fiscal Code.

According to the draft, the annual construction tax is calculated by applying a rate of 1% to the net value of constructions, other than those provided for which no building tax/building tax is due, regardless of the value that represented the basis for determining the building tax/tax, existing in the taxpayers’ patrimony on December 31 of the previous year/on the last day of the amended fiscal year prior to the one for which the construction tax is due.

According to the Substantiation Note of the draft, a provided amendment aims to introduce a tax rate of 0.5% for calculating the construction tax in the case of taxpayers who, on December 31 of the previous year/on the last day of the amended fiscal year prior to the one for which the tax is due, have under administration/concession/free use/rent constructions of the nature of the public/private domain of the state or of the administrative-territorial units, taking into account the fact that a net value cannot be established for these constructions.