EBA Committee on Taxation and Customs - developing proposals for Tax and Customs Policy 2024

25.05.2023 - Committee meeting discussing the concrete changes to the Fiscal and Customs Policy 2024 draft, presented by the Ministry of Finance.

EBA welcomes the Ministry's openness to include the proposals of the business community regarding:
- Completing the notion of "subdivision" with the express specification of devices that essentially cannot be qualified as a subdivision, such as: electronic devices (such as cash payment terminal, cash-in terminal, currency exchange machine and ATM);
- Completing the types of expenses related to entrepreneurial activity that can be deducted with expenses for employee training, expenses incurred for the benefit of employees related to the consolidation of corporate culture and team spirit;
- Completion of the categories of subjects of excise taxation of legal and natural persons carrying out entrepreneurial activity, which use undenatured ethyl alcohol from tariff item 220710000. As well as other previously proposed changes;
- Gifts in kind, including vouchers, offered to employees, as well as those offered to their minor children, on the occasion of various holidays; subscriptions for the use of sports facilities in order to practice sports and physical education for the purpose of maintenance; expenses incurred by employers for contracting medical services;
- Reduction of the income tax rate from 7% to 6%, deducted from the interest paid for the benefit of resident natural persons;
- Modification of excise duty rates.

At the same time, it is imperative to improve certain provisions which, in the current wording, concerc the business environment with possible negative effects on the business, namely:
- Adjustments to the income of non-resident natural persons obtained as a result of carrying out the activity according to the individual employment contract, without making reference to other civil contracts;
- Modification of the fiscal regime applied to cars by taxing them with VAT on general principles, starting from 01.01.2025, with the gradual reduction of the excise duty rate;
- Completion with a new reporting source related to indirect sources of information, namely the information related to transactions carried out through money remittance systems.

This event was organized with the financial support of European Union and co-financed by Sweden through East Europe Foundation within the Project “Local civil society contributes to inclusive and sustainable economic development in Moldova”