FinMin: We want to exceed EU average GDP per capita in 10 to 12 years, at the most

Romania aims to exceed, in 10 to 12 years at the most, the average GDP per capita in the EU, and by 2019 authorities want the country to benefit from the most relaxed tax policy in the EU, Finance Minister Darius Valcov told a specialist conference on Thursday.

Photo credit: (c) Liviu SOVA / AGERPRES PHOTO

"We have a company called Romania, which for the past 25 years has had all, except for vision and a strategy. It is for the first time when this company comes with a vision, a strategy, and says where it wants to go. We want to exceed the average GDP per capita in the EU in 10 to 12 years at the most. We want to have, by 2019, the most relaxed tax policy in the EU. A Tax Code or a Tax Procedure Code is not enough to modify this system which we have been using for over 25 years", mentioned Valcov.

According to the minister, Romania will not be able to apply, in the next two years, the progressive taxation even theoretically, and in terms of tax relief plans, the starting point will be the sum of 8 billion euros that will enter the economy by 2020.

"Even if we wanted to introduce progressive taxation in the next two years, it would not be possible, because today the ANAF [the Tax Administration] does not have the possibility, in terms of databases, to apply progressive taxation. What can we do? We have to continue with this flat taxation. It is very important to understand that today, almost one million people are working in Romania without legal working papers and one of the aims of the new Tax Code is to bring to light a good deal of these places. There must be a starting point, and this is the 8-billion-euro plan, which we will invest in the economy over the next five years, from 2015 to 2020. We will lay emphasis from 2015 to H2...