𝐉𝐨𝐢𝐧𝐭 𝐩𝐮𝐛𝐥𝐢𝐜 𝐬𝐭𝐚𝐭𝐞𝐦𝐞𝐧𝐭 𝐛𝐮𝐬𝐢𝐧𝐞𝐬𝐬 𝐨𝐫𝐠𝐚𝐧𝐢𝐳𝐚𝐭𝐢𝐨𝐧𝐬 𝐨𝐧 𝐩𝐫𝐨𝐠𝐫𝐞𝐬𝐬𝐢𝐯𝐞 𝐭𝐚𝐱𝐚𝐭𝐢𝐨𝐧

Since 2019, Romania has been under the excessive deficit procedure. Real solutions have been postponed for too long, and we now find ourselves in a difficult situation regarding budgetary sustainability. Under these circumstances, the swift formation of a new government and the adoption of a realistic action plan are essential to keep the economy on a stable trajectory.

We believe the budget deficit should be corrected through efforts to reduce public spending and improve revenue collection, without further increasing the tax burden. In the long term, we consider that a strategic perspective is needed to reduce fiscal deficits, one that also leverages Romania’s economic growth potential. Fiscal reforms should support the revival of the private sector’s capacity to invest in the national economy.

A stable and predictable tax system is crucial for any economy that aims to attract long-term investment and retain talent. Today’s young professionals have access to numerous opportunities, and a predictable and supportive tax environment can make a difference in their decision to stay and contribute to Romania’s development. The flat tax provides this stability and has significantly contributed to simplifying the tax system, reducing tax evasion, increasing labor force participation in the economy, improving voluntary compliance, and attracting investment.

Data shows that Romania already has one of the highest and most uniform effective tax rates on labor income in the European Union—37.2% in 2021, compared to the EU average of 31.9% and the OECD average of 34.5%, making Romania the fifth highest in the EU in terms of tax burden.

AHK RomaniaAmCham RomaniaAsociația Oamenilor de Afaceri din România (AOAR) (The Association of Businesspeople in Romania)Belgian Luxembourg Romanian Moldovan Chamber of CommerceCamera di Commercio Italiana per la Romania (CCIpR)British Romanian Chamber of CommerceCCI Française en RoumanieRomanian Portuguese Chamber of CommerceConfederatia Patronala ConcordiaCCE-R | Swiss Chamber of Commerce in RomaniaNetherlands-Romanian Chamber of Commerce (NRCC)Romanian Business Leaders