Tag: split VAT

  • November 8, 2018  UPDATE

    November 8, 2018 UPDATE

    MEETING – The Romanian Interior Minister Carmen Dan is attending in Washington the EU-US Justice and Home Affairs Ministerial Meeting. At the meeting, Carmen Dan will present Romanias priorities in the field during its presidency of the EU Council in the first half of next year. The EU is represented in Washington by the Austrian ministers of the interior and justice, on behalf of the current Presidency of the Council of the European Union, the members of the delegation representing Romania, the country that is to take over the Presidency in January 2019, and the European Commissioners for migration, home affairs and security.



    ACCUSATION – The National Anticorruption Directorate claims that the Speaker of the Romanian Senate, Calin Popescu-Tariceanu, indirectly received 800,000 USD dollars worth of material benefits from an Austrian company while he was Romanias Prime Minister, in 2007-2008. The amount accounted for a 10% commission from the value of addenda and was used for the benefit of the dignitary. The case was opened in 2018, by bringing together three criminal cases, of which one was taken over by the anticorruption prosecutors, at the request of the Austrian judicial authorities. In a communiqué issued at the request of Agerpress News Agency, the Directorate also mentions the fact that, in keeping with the legal and constitutional provisions in force, prosecuting Tariceanu for bribe-taking is possible only if endorsed by the Senate. Previously, Calin Popescu-Tariceanu had stated the Government made no payment in relation to the Microsoft licenses during his term as prime-minister. We recall that several people, including ministers, have been prosecuted in the so-called Microsoft case, for acts of corruption in relation to license agreements concluded for schools, worth hundreds of millions of dollars.



    EC – On Thursday, the European Commission decided to send Romania a formal letter calling on the Romanian authorities to stop using the split VAT payment mechanism. According to the Commission, the mechanism runs counter to both the EU regulations in the field and the freedom to provide services. In another move, also on Thursday, the Commission noted that an energy producer in Romania – the Hunedoara Energy Complex – has received incompatible state aid amounting to 60 million Euros. According to the EC Representation in Romania, the state must recover the illegal aid and the related interests.



    JUDGE PANELS – On Friday, the High Court of Cassation and Justice will designate, by drawing lots, the members of the five-judge panels for 2018. There are four panels consisting of five judges, two for criminal and two for civil matters. On Wednesday, the Constitutional Court admitted the notification filed by prime-minister Viorica Dancila regarding the formation of the 5-judge panels and decided there was a constitutional conflict between Parliament and the High court of Cassation and Justice. The Constitutional Court has decided that the latter should urgently take measures to form the 5-judge panels.



    EPP – On Thursday, the German politician Manfred Weber was elected candidate of the European Peoples Party (EPP) for the seat of president of the future European Commission (2019-2024). Weber, who got 80% of the votes, defeated the Finish Alexander Stubb. The Romanian parties members of EPP, the National Liberal Party, the Democratic Union of Ethnic Hungarians and Peoples Movement Party supported Weber. On Wednesday, the first day of the Congress, EPP adopted a resolution calling for the observance of the EUs fundamental values. The document reads that nationalist and populist extremism, disinformation, discrimination and failure to observe the rule of law are the biggest threats against freedom and democracy in Europe, after the fall of the Iron Curtain. We recall that the next EC is to be formed after next years elections for the European Parliament, due in spring.



    AIR BASE – On Friday, the Romanian Defense Minister Mihai Fifor and his Canadian counterpart Harjit Singh Sajjan pay a visit to the Mihail Kogalniceanu air-base in south-eastern Romania. According to the Romanian Defense Ministry, the two officials will meet with the Canadian detachment deployed in Romania. The 135 Canadian soldiers are taking part in air policing missions, under NATO command.



    HANDBALL – The Romanian mens handball team Dinamo Bucharest defeated Ademar Leon of Spain on home turf on Thursday, in a match part of Champions Leagues Group D. The victory brought Dinamo 10 points and made it top of the group. The main contenders for the qualification to the play-offs, are Ademar Leon, with 9 points, and Wisla Plock (Poland) and Elverum (Norway) with 8 points each. This is the third season for Dinamo Bucharest in the most important inter-club competition in the world.

  • October 23, 2017

    October 23, 2017

    BILATERAL RELATIONS — Romania’s Foreign Minister Teodor Melescanu, who is on an official visit to Israel, will meet President Reuven Rivlin and Prime Minister Benjamin Netanyahu, who is also the country’s Foreign Minister. The agenda for talks includes the status of bilateral relations, the developments in Israel’s vicinity, the situation in Syria and Iraq, the prospects of Iran’s nuclear agreement and the peacemaking process. On Sunday, Minister Melescanu met with representatives of the Romanian-born Jewish community in Jerusalem. Several days ago, the Chairman of the Knesset Committee on Foreign Relations and Defense, Avi Dichter, met with Teodor Melescanu in Bucharest. The Romanian official hailed the visit of the Israeli Parliamentary delegation to Romania as an opportunity to reassert the excellent level of bilateral relations.



    NEGOTIATIONS — Trade unions in the field of healthcare are today resuming talks with the Health Ministry. Union representatives are discontented with the new legislation that is to take effect on January 1 and which, they believe, would considerably curb the income of healthcare personnel. Trade unions want the Government to eliminate the 30% cap on specific bonuses and to renounce its plan to transfer the payment of social security contributions from employers to employees, which will arguably counterbalance the 25% salary increase stipulated by the new salary law. Unless they reach consensus with the authorities, healthcare trade unions threaten to resort to new protests. Last week some 10,000 employees from all over the country attended a large-scale protest action in Bucharest.



    SPLIT VAT — The Romanian Parliament is today debating the Split VAT collection mechanism. Finance Minister Ionut Misa is today expected to explain before the Chamber of Deputies how the measure will be implemented. The measure has already taken effect by emergency Government decree and is currently optional. It will become mandatory for all businesses starting January 1, 2018. The Liberals have called on the Government to repeal the decree, saying it will upset the economy. Conversely, the left-wing ruling coalition plans on modifying the law so that it becomes mandatory only for businesses with a bad credit record or which are currently in default. Split VAT has stirred harsh criticism from businesses, who’ve warned the new mechanism will cause an economic deadlock.



    REFERENDUM — The majority of voters in the regions of Veneto and Lombardy in northern Italy have voted for greater autonomy as part of the two referendum held on Sunday. Over 90% of the voters said “yes” to the consultation held by the North League, an extremist political party. According to our correspondent on the group, the result of the vote might lead to negotiations with Rome authorities, with a view to securing better financial agreements with the two regions.



    HANDBALL — The Romanian women’s handball team CSM Bucharest lost 25-22 to Nykobing Falster Handboldklub of Denmark away from home, in the third match in the Champions League Group A. CSM previously defeated RK Krim Mercator Ljubljana of Slovenia on home turf and Vistal Gdynia of Poland away from home. CSM ranks first in the group tables with 4 points, the same as Nykobing, who is runner-up. The next fixture for the Romanian handballers will be the return leg against Nykobing Falster Handboldklub, scheduled on November 4 at home. CSM Bucharest won the Champions League last year on its first ever appearance in this competition. This year CSM is favourite to win.



    TENNIS — Tennis player Simona Halep, WTA no. 1, is seeded first in the WTA finals hosted by Singapore. Halep is today playing Caroline Garcia of France, WTA no. 9 in the first match in the Red Group. In the second Group fixture, Elina Svitolina of Ukraine, WTA no. 4, will take on Caroline Wozniacki of Denmark, WTA no. 6. On Sunday on the first day of the competition, Garbine Muguruza of Spain defeated 6-3, 6-4 Jelena Ostapenko of Latvia, who has for the first time qualified to this event. In the other match in the White Group, Karolina Pliskova of the Czech Republic defeated Venus Williams of the United States, 6-2, 6-2. This is Simona Halep’s fourth participation in the WTA Finals. Four years ago she made it all the way to the final. (Translated by V. Palcu)