Main Taxes Unchanged In New Romania-IMF Deal – PM

By end-April, the Government will assess the outstanding debts of state-owned companies to the general consolidated budget, by their value at the end of 2010. The debts will be settled gradually, according to a schedule, said Boc in a press conference.

The prime minister said the Government will „eliminate” or re-negotiate unprofitable contracts in the field of transports.

The Executive’s plans also include:
– selling the state’s minority stakes in companies such as Petrom, Transgaz, Transelectrica;
– restructuring railway companies;
– taxing high undeclared wealth, in an attempt to fight tax evasion;
– asking the European Union’s Council of Ministers to approve increasing the level of turnover or revenue after which the registration and payment of VAT becomes mandatory to EUR50,000, from EUR35,000;
– clarifying the legal conditions on the claw-back tax charged to pharmaceutical companies;
– setting reference ceilings for quarterly services in the healthcare sector and compensating doctors who abide by the ceilings;
– denying financing to non-essential, costly, medical services.

Boc said the agreement does not state an exact number of public sector employees to be laid off.

Romania has agreed on a fresh two-year agreement with the International Monetary Fund, European Union and the World Bank, President Traian Basescu said Sunday evening. The new agreement is for EUR5 billion – EUR3.6 billion from the IMF and EUR1.4 billion, and Romania will only draw on the money if needed.