Committee created to supervise implementation of President’s initiatives on economy liberalisation

The Government has instituted a Supervisory Committee for monitoring the implementation of the initiatives on economy liberalisation, launched by the head of state. The new structure was created at the initiative of Premier Vasile Tarlev. The Committee will supervise the way the authorities of central public administration are implementing the law’s provisions, will monitor the processes and trends related to the procedure for fiscal amnesty and amnesty of the capital. The new structure will also coordinate the process of drawing up the normative documents by the authorities of central public administration. The Parliament passed in final reading the presidential initiatives on economy liberalisation in late April. According to one of the initiatives, the economic entities will not pay the income tax of 15%, in case the incomes will be invested. In case of paying dividends (the canalisation of incomes to consumption), the income tax of 15% will be maintained. The initiative will come into effect as of January 1, 2008. Another initiative refers to fiscal amnesty, meaning to annul all the fines, penalties and debts to the State Budget due until January 1. The distraints levied upon the assets of the economic entities will be annulled, and the inspection bodies will be prohibited to verify the previous fiscal periods, but the debts concerning other compartments of the national public budget will have to be paid. The initiative related to the amnesty of the capital includes all forms of capital – from financial means, assets, share holding, to real estate and securities of the economic entities and natural persons. The amnesty will be performed on the basis of an application. Regardless of the sum of the capital declared for amnesty, the state will legalise it for a 5% tax of its value. The accumulated financial means will be equally distributed: half to the state budget, the rest – to the social insurance budget and health insurance fund. The amnesty will be held until January 1, 2009.