Romania's Fiscal Code changed starting July 1: taxes introduced on meal tickets, interests and assistance payments

Vineri, 18 iunie 2010, 18:40 English | Business

An emergency ordinance for the change of the Fiscal Code, which provides ground for extended taxation, would come into force on July  1, according to the draft ordinance posted on the Finance Ministry website. The purpose of the bill is to improve budget incomes which have been seriously affected by the economic and financial crisis.

As compared to the Fiscal Code so far, among others the 2010 version provides  ground for:

• taxation of all tickets used as supplementary payments (meal tickets, holiday tickets, gift tickets)
• taxation of interest incomes (deposits and current accounts)
• taxation of compensation payments and assistance payments calculated in accordance with montly incomes, the average income salary or the average unit salary
• introduction of a 16% tax on earnings from transactions with financial assets held for more than a year (which have so far been taxed 1%)
• deductions are diminished for copyright incomes
• Tax on buildings is doubled to 30% for the first building beyond that of the one used as taxpayer's address. For a second building beyond the home address tax rises from 50% to 100%.