The Cabinet didn’t support the proposal to implement additional measures to support entrepreneurial activities in Dubasari district on the left side of the Nistru. The legislative initiative was submitted by a group of MPs, IPN reports.
The bill provides for the exemption from the income tax imposed on entrepreneurial activity and for the institution of zero VAT. According to the Ministry of Finance, the provision of fiscal stimuli to only some categories of taxpayers will lead to greater fiscal inequity and to the distortion of the national tax system and more difficult tax administration. Fictitious business entities could be registered to benefit from preferential treatment.
The objectives of the medium-term fiscal policy are aimed at ensuring an equitable tax system based on general taxation principles and the switchover to direct state subsidization. The essence of the legislative initiative runs counter to these goals, it is said in the appraisal to the bill.
