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Senators eye compromise on SME taxation

Joi, 15 iunie 2006, 0:00

Micro-enterprises in the manufacturing sector will have the possibility to opt between a 1.5% tax on business figure or a 16% tax on profit starting in 2007, according to a proposal of the Budget-Finance Commission in the Romanian Parliament, passed by Senators on Wednesday.

They approved the initiative during marathon debates on draft changes to the Fiscal Code.

Three proposals had been submitted regarding the taxation of small and medium enterprises. The first, pushed by Commission head Varujan Vosganian, said a 3% tax on business figures should be kept for SMEs. The idea was rejected – as did another proposal by Senator Gheorghe Funar, who suggested a 5% profit tax for all SMEs.

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