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Tax changes for the agricultural sector and the food industry

• On the list of fiscal changes of the current Government is also the return to the payment of health contributions (CASS) for employees in the food and agriculture industry.

Starting from June 2022, the food industry and the agricultural sector, two important sectors of the national economy, which annually generate business of over 12 billion Euros, have benefited from facilities similar to those in construction, including exemption from CASS payment, exemption from income taxes for salary income, with a minimum monthly salary of 3.000 lei being established.

The potential return to paying CASS in the food and agriculture industry would have major consequences for the entire economy. The pressure exerted on companies in these sectors could lead to the closure of certain production sections, thus generating price increases and, implicitly, increased imports.

"If this facility is removed, it is very serious. Together with these facilities, we increased salaries by about 1.000 lei. And if we run out of facilities, we will have to close several departments because we are struggling to survive anyway. The daily basket has decreased a lot, I think by more than 40%. The number of customers did not decrease, but the daily basket was reduced. People are leaving the country, and such decisions will not encourage them to stay.", declares for BBC Vasile Lucuț, the entrepreneur who owns Unicarm, the largest employer in the food industry.

Fiscal changes

Dissatisfaction with the measures proposed by the new Government does not stop here. According to economic analyst Iancu Guda "the executive is burying small businesses. The government massively increases the tax burden for a million taxpayers (micro-enterprises, PFA, liberal professions and employees) to get an extra lei, but proportionally wastes 100 lei in the public sector", he says in the show "In front of you" of the Digi24.

Article written by Gabriela Dan, Editor of Arta Albă

Read on White Art and: The normative act on stopping the increase in food prices

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