Alexander Trubka
“No taxes are paid on this money,” the deputy said, emphasizing that the lack of control over electronic transactions allows artificially underestimating the cost of services and, consequently, the amount of VAT paid.
The main polemic unfolded around the activities of international digital platforms. Pipe pointed out the existence of “ghost companies”, or rather one specific company, without naming it. The company allegedly registered a formal structure in Moldova, which de facto does not conduct any economic activity.
“A company with 60% of the cab intermediation market has zero turnover in Moldova. This is a huge problem,” Trubka noted. He added that this, in addition, disadvantages other operators who chose to register in good faith and pay taxes in the country.
“I am not talking anymore about where this company is from. That is the second question,” he added.
Cab platforms: either tax resident or no tax resident
To solve this problem, draft amendments to the Road Transport Code have been developed. The main proposal is mandatory fiscalization of all operations.
“Electronic control systems (platforms) can be provided for use on the territory of the Republic of Moldova only by legal entities that are tax residents of the Republic of Moldova, which ensure that all transactions related to the activity on the territory of the country are carried out exclusively through licensed banks of the Republic of Moldova,” the draft law says. MPs from all factions voted in favor of it in the parliamentary commission for economy, budget and finance. The document will now be presented at the plenary session.
The draft introduces a mechanism of disciplinary responsibility: violation of the rules will entail suspension of the platform’s activity. Moreover, the government will be obliged to develop a clear regulation of the relevant procedure.
Attempt number two
It is worth noting that back in 2023 there were attempts to bring order to this market. But something went wrong.
“We expected that all intermediation services – which is a commission of 12 to 18% – will be reflected in the turnover. We expected that VAT would be paid out of this amount. But the company has zero activity. An operator with 60% market share shows zero turnover for the year. This is a fundamental problem,” shares Trubka.
Where are the trips “stored”?
Meanwhile, the other day it became known that the Yango service (owned by Yandex) received a multi-million dollar fine from European regulators for violating GDPR regulations and illegally transferring confidential data to servers in Russia.
As noted by the Patronage of Passenger and Baggage Carriers in Taxi Mode, it was not just numbers, but real routes, geolocation of trips, bank details and detailed personal information of both passengers and drivers themselves that were at risk of access by intelligence services.
“Have you ever wondered where exactly the data on your daily routes is stored?” the association asks rhetorically.
However, it has no direct relation to Moldova. At least, not yet. “So far, there is no reasonable suspicion that they transfer personal data to states that do not comply with quality standards regarding the processing of personal data,” said Trubka.
