Liberal leader: If tax rise is enforced, Romania will collapse

Vineri, 25 iunie 2010, 18:54 English | Top News

PNL Iasi leader Relu Fenechiu considers that taxes are going to go up in Romania, the country will collapse. "The Government had better not have the nerve to come with the second option, namely increasing taxes. Such measures would bring Romania to financial collapse. The companies deal with the crisis anyway and they've got problems. The raise in taxes would certainly have catastrophic effects", Relu Fenechiu said, quoted by Mediafax.

The liberal leader claims that PDL and president Traian Basescu wanted to impose their choices at the Constitutional Court, but not even them "voted against what was obvious".

"Those from the Constitutional Court on Basescu's side could not push it, because certain rules would have been breached. Not even they voted against the obvious. I understand there have been some tough discussions between those from the Constitutional Court and the Government for the [austerity, NB] measures to be enforced, but it could not been done. Basescu and Boc [president and PM] thought they could come with any aberration in the Parliament, and then pass it through the Constitutional Court without a problem. They wanted a majority with the Constitutional Court, so that it would not be in their way", Relu Fenechiu said.

UDMR president Marko Bela declared on Friday that the CC's decision is "mandatory" and that the Government needs to look for other measures immediately to preserve the budget balance and the figures agreed with the IMF. In his opinion, there is no other way but to increase the flat tax and the VAT.