Road tax could be included in fuel excise tax

The road tax could be incorporated into the fuel excise tax starting next year, as proposed in the draft 2021 Budget and Tax Policy.

Prime Minister Ion Chicu told reporters on Monday the measure aims to ensure “fairness”, as motorists will pay depending on how much they use the roads.

Another measure proposed by the Policy is to reduce VAT on primary agricultural goods and fertilizers to 12%. “We think this is a step towards balancing VAT (…) in sectors such as processing, animal husbandry and so on,” explained Ion Chicu.

Another “important proposal”, according to the prime minister, is the elimination of double taxation of dividends.

The draft 2021 Budget and Tax Policy is currently in the phase of consultations with the business community.

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