Corresponding amendments have been made to the Tax Code and will come into force on March 1 this year.
“What does it mean? If you have a small business and earn less than 1.7 million lei per year, you do not need to register as a VAT payer. This measure gives more freedom to small entrepreneurs, reduces the administrative burden and allows them to focus on business development rather than on paperwork and procedures,” commented Radu Marian, chairman of the commission for economy, budget and finance, on the new law.
We shall remind you that the authors of the draft law were the Our Party faction, which proposed to raise the threshold of mandatory VAT registration to 3.2 million lei.
However, the majority faction PAS earlier proposed to raise it to 1.5 million lei. In the end, the government chose the “golden mean” – 1.7 million lei.
