American trade chamber, calling for the unique quota

The delay of a political agreement for the formation of a stable government to assume the economic and fiscal measures that Romania needs increases the concern among the business community, tension in society and transmits negative signals to institutional partners, financiers and rating agencies, warns the representatives of the American Chamber of Commerce in Romania (AMCHAM).

« On behalf of the more than 600 active member companies in Romania in 32 economic sectors, we send a call for alignment for the adoption of the solutions that Romania urgently needs. The business environment wants Romania’s interests and well -being to be placed above political agendas and the solutions that will be adopted not to lead to the deepening of the society. is shown in a statement from the organization.

AMCHAM representatives point out that Romania no longer has the luxury of postponing difficult decisions and delaying policies to respond to the emergencies of the moment, but also to the economic course in the long term.

« For us, at the level of the business community, it is clear that Romania no longer has the luxury of postponing the difficult decisions and to delay the assumption of policies that also respond to the emergencies of the moment, as well as to a coherent vision for the economic course of the country in the long term. Fitch sent a message of concern yesterday in the perspective of the evaluation report on August 15th. The economy through counterproductive measures ”, mentions the AMCHAM Business Association, in the statement.

From this perspective and to unlock the dialogue on fiscal-budgetary topics, Amcham Romania reaffirms the unique tax rate as the most appropriate variant for overcoming this impasse, at the same time with the urgent restructuring of public expenses.

According to the quoted source, the significant reduction of the waste with the clear prioritization of the destination of the budget allocations is the foundation of a sustainable recovery. There is no viable alternative without this step, along with assuming real and brave measures to reduce tax evasion and VAT gap, representatives of Amcham say.

« The benefits that the unique quota has generated in the economic growth of Romania are undeniable: the significant expansion of the middle class, the increase in the labor market, the reduction of the work in black, the intensification of the real economic convergence. Easy to administer, for both the state and the taxpayers ”, stresses the organization.

In this context, Amcham Romania supports the application of a unique generalized share for all categories of income, eliminating all portions and exceptions to allow a higher collection and concentrate efforts on real structural reforms. Social equity, a legitimate desire for state representatives, can be ensured very efficiently by the unique generalized share with the application of deductions for low salaries.

« By contrast, the introduction of a progressive taxation system at this time of fiscal and macro-budgetary uncertainty will rather determine an emphasis on the imbalances. The countries that have passed to the progressive taxation have done it only after long periods of transition, with serious technical preparations and extensive campaigns of information of the taxpayers. An excessive budget deficit in a short interval, progressive taxation is not a real solution.

In their opinion, it is essential that the future package of economic and fiscal measures take into account not only supplementation of short -term budgetary revenues, but also the subsequent evolution of the economy. Without ensuring an attractive framework for investments, in which the private sector will perform, the risk is that any tax increases will not bring more funds to the state budget, but to suffocate and contract the economy.

The American Chamber of Commerce in Romania – Amcham Romania is the most representative business association, recognized for facilitating a consistent public public dialogue on the economic agenda and for the contribution to strengthening the economic relations between Romania and the United States.

With over 30 years of presence in Romania, Amcham currently brings together 600 American, international and Romanian companies with cumulative investments of over 30 billion in Romania.

Amcham member companies provide together over 250,000 jobs and generate a cumulative turnover of over 65 billion euros. Each 1 million euros in the turnover creates another 10 jobs in the economy.

Amcham Romania members work in 32 economic sectors, which makes it possible to involve Amcham in promoting economic priorities for many fields of activity, through specialized working groups, such as: capital and financial services, corporate governance, competition and state aid, education, digital economy, protection of personal data, tax, environment and public-private, real-state, commercial legislation, and tourism.

Amcham Romania is an accredited member of the US Chamber of Commerce and is part of the European Chambers of Commerce Network.