The Ministry of Finance unveiled the draft fiscal policy for 2027. NM talks about the innovations proposed by the authorities for businesses and individuals.
The draft fiscal policy (NBP) for 2027, published by the Ministry of Finance on June 11, provides for the following innovations:
Zero income tax for business
Zero income tax will be extended to companies that do not distribute profits, but invest. Currently, this regime applies only to small and medium-sized businesses. If profits are distributed, a 12% income tax applies, followed by a further 6% tax on dividends.
According to the draft NBP, retained earnings will be exempt from taxation, and when distributing profits, the total tax burden will be about 21%: 15% income tax and 7% dividend tax on the remaining amount.
In addition, the Ministry of Finance proposes to remove restrictions on registering freelancers: any person who is self-employed will be able to register in this status. For freelancers, the rate will remain 15% for income up to 1 million lei and 30% for income over 1 million lei.
All other tax regimes – patents, IT park, free economic zones and independent activities – are preserved. However, no new patents will be issued.
Standard VAT on energy resources and utilities
The authorities plan to significantly reduce the list of goods and services subject to VAT at preferential rates of 0% and 8%. According to the bill, VAT on electricity and heat will increase from 0% to 20%, and on natural gas – from 8% to 20%. At the same time, the zero rate will remain for hot and cold water, as well as for sewerage services.
The Ministry of Finance explains this by the fact that preferential VAT provides benefits to all consumers, including households with high incomes.
“The use of a standard rate (VAT) in combination with targeted compensation (for example, benefits for the cold season) allows us to provide more targeted support to those who need it. At the same time, in the context of the energy crisis, additional resources collected through the application of the standard VAT rate can be used for energy efficiency programs and modernization of the energy system,” the explanatory note says.
Increase in VAT for HoReCa and food products
The Ministry of Finance also proposes to increase VAT from 8% to 20% for the HoReCa sector (restaurants, cafes, hotels) and food products.
As the Ministry of Finance explained, due to the use of preferential VAT rates, the budget annually receives about 28.9 billion lei. Of these, 21.1 billion lei are direct losses of income, another 7.9 billion lei are indirect losses associated with the use of preferential rates on goods and services, which under normal conditions are subject to VAT at the standard rate.
Excise taxes on soda and energy drinks
The Ministry of Finance proposes to introduce excise taxes on some goods that are considered harmful to health. In particular, it is proposed to impose an excise tax of 2.4 lei per liter on sweet carbonated drinks based on sugar or sweeteners and energy drinks.
The authorities also want to introduce an excise tax on fireworks in the amount of 25% of their cost. In addition, excise taxes will be imposed on liquids for electronic cigarettes without nicotine. Currently, excise duty is levied only on nicotine-containing liquids.
By the way, the authorities want to increase the excise tax on diesel fuel by another 20% – from 3979 to 4774 lei per ton.
+500 lei to salary and progressive tax scale
The authorities also intend to abandon the personal exemption system for collecting income taxes. Instead, workers will receive 500 lei monthly and 200 lei for each minor child.
At the same time, the methodology for calculating gross wages will be changed. If now gross salary means the amount before taxes are withheld from the employee, but taking into account contributions from the employer’s salary, then from 2027 it is proposed to consider gross salary the entire amount before paying any taxes and contributions.
The following will be deducted from your salary:
– contributions to the National Social Insurance Fund – 21% (24% according to the current methodology, and according to the proposed methodology – 19.4%);
– contributions to the National Health Insurance Company – 7% (9% now, and according to the proposed methodology – 7.3%);
– income tax – 7% for annual income up to 1 million lei and 15% for income over 1 million lei (currently 12%, according to the proposed methodology – 8.8%).
Thus, the total tax burden will be 35% of gross salary. Under current rules, this figure is about 35.4%.
Triple the number of villages in the tariff compensation zone
The Ministry of Finance proposes to reduce the number of settlements in the Security Zone, whose residents receive compensation for the difference in electricity and gas tariffs between the Right Bank and Transnistria.
Currently, residents of 18 settlements in Dubossary, Novoanensky and Kaushansky districts receive such compensation.
Electricity in Transnistria is now more than twice as cheap as on the Right Bank, and natural gas is about ten times cheaper.
According to the draft, only six settlements will retain the right to compensation: Kocieri, Pyryta, Koshnitsa, Dorotskaya, Nova Molovata and Varnitsa. The first five are located on the Left Bank of the Dniester and are controlled by Chisinau, Varnitsa is located on the Right Bank next to Bendery.
Expanding the base for tax deductions
The authorities also propose to expand the list of expenses of individuals for which a tax deduction can be obtained (that is, these expenses will not be subject to income tax).
Currently, deductions are provided for private medical services or voluntary health insurance, life insurance, as well as for the payment of mortgage interest when purchasing a first home outside the Prima Casă program. In addition, there is a deduction of up to 20 thousand lei for education.
Last year, the maximum refund amount for most such expenses was 1,933 lei (12% of the average salary in the economy of 16,100 lei).
According to the bill, expenses for improving the energy efficiency of housing, sports, and organizing ceremonies will be added to the list.
It is proposed to set the maximum amount of deduction at 100 thousand lei per year in total for all types of expenses.
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