CFA Romania: Minimum turnover tax should be eliminated and minimum salary should be increased

The minimum turnover tax should be eliminated and the minimum salary should be increased, believes the president of the CFA Romania Association, Adrian Codirlasu."As to the minimum turnover tax and the minimum salary. My opinion: the minimum turnover tax should be eliminated and the minimum salary should be increased. And let me explain why. The minimum turnover tax, basically, what is happening? It's like a VAT on steroids. Who can pass this tax on? That means higher prices. Where there is high competition and margins are reduced, those are eliminated from the market. And we see, especially in the automotive industry, companies that make layoffs and announce that they are leaving Romania. Likewise, we have large retailers that announce that they are leaving Romania, who pay this minimum turnover tax. So, it leads to layoffs and the departure of foreign investors from Romania. Plus higher prices. For this reason, I think it should be eliminated. It is bad for both employees and companies", declared Adrian Codirlasu, during the "CFA 5 o'clock info", an event organized by the CFA Romania Association.Regarding the minimum economy-wide salary, he stated that inflation hits low-income families. Under these conditions, the minimum salary should be increased."Even the European Central Bank conducted a study on the inflation episode that was at the European Union level. These were the conclusions of the European Central Bank: families with the lowest incomes are the most affected. Why? Because food and utilities occupy a large share in the budget of those families. And if we have families that have low incomes, they were hit the hardest by inflation. And, basically, the cost of reducing these deficits would be thrown on those families by not increasing the minimum salary. Especially since we have a European regulation that links the minimum wage in the economy to some factors. One of them is inflation. And we are European champions in inflation. According to that European regulation, we should increase it. If we only respect the law when it suits us, and when it doesn't suit us, we don't respect it, what message are we giving? In other words, what is our credibility? If we have a law, we have to we respect it. Whether we like it or not. So, that's why I'm for eliminating the turnover tax and increasing the minimum salary in the economy", explained the president of the CFA Romania Association, Adrian Codirlasu.In turn, Alexandra Smedoiu, vice president of the CFA Romania Association, said that the minimum turnover tax "is a complete anomaly", and if the state wants to collect more from companies, a much more accessible and much healthier provision could be to increase the flat rate, to 17 or 18%.