Exemption from tax of reinvested profit has budget impact estimated at 137.5 million lei in 2014

The exemption from tax of the reinvested profit, a measure taken by the Government through the emergency ordinance, has a budget impact estimated at 137.5 million lei in 2014, reads a release sent by the Ministry of Public Finance to Agerpres.

2014-04-24 18:14:49

According to the emergency ordinance, businesses will be totally exempted from paying the tax on the profit that was reinvested in technological equipment, machines, working equipment and installations and for the application of this incentive they will consider the book profit registered starting on July 1, 2014 and invested in technological equipment, machines, working equipment and installations that were produced or bought after that date.

The exemption from tax of the reinvested profit is calculated once every quarter or every year, as the case may be, and will be applied by December 31, 2016 included.

The emergency ordinance issued in this respect by the Government on Wednesday also regulates the way to create the reserves corresponding to the reinvested profit.

"By this measure of fiscal relaxation we cope with an older expectation of the business environment. By failing to lay tax on the reinvested profit, we shall stimulate investments and the domestic offer," thinks Minister of Public Finance Ioana Maria Petrescu.

Minister Petrescu, Secretary of State Dan Manolescu and a technical team of the ministry had consultations on this project, before it was promoted on the agenda of the Government meeting, with representatives of the businesses environment as part of the Commission on Social Dialogue and in the Economic and Social Council.